Take-Two Powers On
We have written about Take-Two Interactive (Nasdaq: TTWO) on a number of occasions in the past (here, here and here), given that the stock has been in the Montaka portfolio since the inception of the fund. This article will explore what initially drew us to TTWO, as well as how things have panned out with […]
Why do we own Facebook?
Readers of this blog will know by now that we believe the online technology platform is a special business model that, if successful, will deliver owners supernormal returns for a long period of time. As positive network effects compound the value of the platform’s ecosystem for all users, the ecosystem grows, and with it does […]
Long synergies from the short side
Readers will be aware that Montaka’s short portfolio provides the strategy with an additional channel to generate returns as well as downside protection when markets fall. These benefits are direct and clear. Less obvious to readers however may be the benefits that the short side research process provides the long portfolio of Montaka in the […]
When non-recurring revenues recur
One of the ongoing debates about Apple (NASDAQ: AAPL) has been with respect to its persistently low price-to-earnings (P/E) multiple. At just 12.8x (excluding its lazy US$160 billion of net cash sitting on the balance sheet), Apple seems unusually cheap for such a high-quality business. And it is, in our view. But in the eyes […]
The impossibility of competing with Facebook
It’s hard to avoid Facebook these days. Facebook has become the ubiquitous online platform of our time. Whether you spend time on Instagram, WhatsApp, Messenger or the Facebook property itself, the company has successfully created effective ways for users to build communities, communicate and consume content. But of course, Facebook is an advertising business. And […]
The Growing World of eSports
While many of our readers may not have attended a live event to watch others play video games, there are a fast growing number of spectators who do. eSports is increasingly becoming an area in which video game publishers are trying to gain a foothold. The term eSports refers to competitive video gaming – that […]
Insperity reaccelerates
One of our points of differentiation versus many peers relates to our ability to invest across the size spectrum. Consider that, at the time of writing, Montaka’s long position with the largest market capitalization was Apple (NASDAQ: AAPL), at US$700 billion. Meanwhile, our long position with the smallest market capitalization was Insperity (NYSE: NSP), at […]
The creation of an eyeglass behemoth
While those in the US were celebrating Martin Luther King Day on Monday this week, Essilor (Euronext: EI) and Luxottica (Italiana: LUX) announced a €50 billion merger to create an eyeglass behemoth. Readers will know that Essilor has been a favourite business of Montaka’s for some time. It is the clear global leader in eyeglass […]
Foot Locker as the Next Derivative of Athleisure
In 2015 the Montaka research team identified the worldwide proliferation of “athleisure” as a powerful investment trend that we could capitalise on. As people continued to turn to activewear as their everyday fashion choice, sales of Nike merchandise would benefit and shareholders should be rewarded handsomely – or so the first-order thinking goes. At Montaka […]
Inside the TJX machine
In the age of Amazon and the rise of e-commerce, many brick-and-mortar retailers are facing pressures. Traffic in many US shopping malls is not what it used to be. And yet, there is a particular segment of the US brick-and-mortar retail space that is thriving right now: the off-price discount retailers, including The TJX Companies […]
