You can choose companies that you want to hold forever, but there are also opportunities with more cyclical companies where, as a contrarian investor, you can frequently enter and exit.
The company I am presenting today is one that I previously bought in 2017, 2018, and 2020. The profit from the first purchase was not significant upon sale last year; however, the investment from the last purchase more than tripled.
Upon selling, I mentioned that it was not a farewell but a 'see you later'; I did not expect this 'see you later' to come so soon.
Thanks to this cyclicality, today we can re-enter at 85% of the book value for a company with a solid balance sheet and capable management, which is also active in a growth market.
The thesis here is straightforward: the difference in vision between short and long-term as an investor creates this opportunity, with a wide margin of safety below tangible book value.
Some multiples:
3,1 x EV/EBITDA ( 2,9 x expected EV/EBITDA)
5 x EV/EBIT (5,4 x expected EV/EBIT)
6 x Koers/Winst (7x expected P/E)
0,85 P/B
I introduce you to: