$HPE is trading at 14x fwd P/E, with a great growth outlook on servers. Meanwhile, their competitor is getting knocked out by the Taiwanese government.
Just a thought...👀
- 1.5x book is a higher valuation than .8x book but I don't think it's overly expensive compared with peers BOW (1.85x), SKWD (1.67x), PLMR (3.1x) and RLI (2.7x). However, IGIC has a much more resilient balance sheet and I believe it has better future prospects regardless of the insurance premiums market.
- There aren't recent purchases but management owns about 15.7m shares in total. With a share price of $25.75 it means they own over $405M of the company or over 36%. I don't think alignment is in question here.
$IGIC is a disciplined specialty insurer whose value comes less from chasing growth than from underwriting restraint, conservative reserving, balance-sheet strength, and returning capital when markets are unattractive. The upside case is that this prudence lets it protect book value through softer cycles while selectively leaning into harder pockets, especially Middle East political violence and war-risk, where losses have forced competitors to reprice or pull back.
Wrote this up on $HPE in October. I was really disappointed with guidance which I thought was too conservative. The benefit of that is it gives more time to buy!
$DELL: The deal with the federal government is not even for servers, but for software consolidation, which is historically an incredibly low-margin business. There’s no way the stock should be up so much, Trump or no Trump.
Discloser: I am short Dell at $420.
@zephyr_z9 Trendforce now says that the fab expansion is just a reallocation of capacity from Taiwan to Virginia. Do you agree and does it change your outlook on NYT?
@jukan05 Trendforce now says that the fab expansion is just a reallocation of capacity from Taiwan to Virginia. Do you agree and does it change your outlook on NYT?
Listening to Gavin Baker podcast. He says that in the AI explosion, like commodity producers, the worst companies will go up the most because they have the highest marginal benefits
IPO debate aside, the ~100% growth in Starlink subscribers is a major reason why I'm so bearish $CALX. They're competing with Starlink in Starlink's strongest areas (rural) and they don't have opportunities to pivot or refocus.