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Sean Emory

 
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  • Wix: Growth On Decline, While Expenses Climb [View article]
    I haven't read this thoroughly and will do so, however expenses is simply user acquisition. You are ignoring one of the most important facts, that they use a subscription model and cost per user continues to drop. Once on their platform and if you are running a serious business, the switching cost therefore becomes high. Switching cost is one of the most significant economic moats in which a company can have, and you seem to be ignoring that fact.
    Dec 12, 2014. 10:23 AM | 1 Like Like |Link to Comment
  • Shopping Anyone? Which Equity Market Is On Sale... [View article]
    Not sure how you are up 100% short a stock. Since the article I am down about 15% including dividend. Not bad given the events that have taken place since. If you read clearly, the investment period is 12-24 months. Happy you timed it perfectly and wish you much success, but we remain long and believe the long term value here is enormous. Technical I see another 3-5% downside, hope that level holds. At this stage all the risk is to the upside as everything is negative.
    Dec 5, 2014. 08:08 AM | Likes Like |Link to Comment
  • Shopping Anyone? Which Equity Market Is On Sale... [View article]
    I continue to agree. At some point investors need to look past the current situation and understand the value of these assets are considerably undervalued. With a long term time horizon we could get to a target multiple of 8-9 times earnings, 4-6% dividend, and back to earnings growth in the next 5-10 years. That is a +120% total return.
    Dec 4, 2014. 08:59 AM | Likes Like |Link to Comment
  • Recent Secondary Offerings In These Stocks Highlight The Risks Of IPO Investing [View article]
    I agree with poster above but slightly less harsh. I think they are referring to the nature in which investors add or decrease shares relative to recent price action. The retail investor would be typically be a seller in the instance that they are breaking even today.

    To my point tho. Investors need to always account for authorized share count, not just the float. If your due diligence is based off diluted per share then you do not need to worry about the short term moves in the stock. For short term traders, big moves should be expected.
    Nov 23, 2014. 08:42 AM | Likes Like |Link to Comment
  • Wix: Fast Growing Small Cap Poised For Success [View article]
    No problem. Thanks for the question.
    Nov 14, 2014. 04:43 PM | Likes Like |Link to Comment
  • Wix: Fast Growing Small Cap Poised For Success [View article]
    First off the market is large enough for several players and Weebly does a great job. The company just was recently valued right around $500 million. On to how WIX differentiates itself. First WIX has the App store which I was referenced above. The app store offers users unique features to add to your site for free or at low costs. Secondly, the functionality of Weebly while good, Wix allows for users to be slightly more creative. WIX is truly a point and click, while Weebly does not offer as much free range in placing items on your web page. Third, WIX has almost 50% of their revenue outside of the US (Weebly is unkown). These international regions are also growing at rates above 100%, showing they are making ground. Lastly, the support which WIX offers is unique relative to Weebly, Squarespace, and all other cloud based web site creators. Go on each website and you will immediately see that help tabs are all over WIX, while not on its competitors. There are more, but I hope this helps.
    Nov 14, 2014. 11:08 AM | 1 Like Like |Link to Comment
  • Priceline's Q3 Earnings Report Has Sent Shares Falling More Than 5%, Should You Consider The Stock Now? [View article]
    You buy this dip 100%. One of the premier brands and conglomerate of brands both domestic and internationally. Flexibility given their cash position. Continued positive free cash flow, buying back shares, moat through massive network, among other strong characteristics.
    Nov 4, 2014. 09:31 AM | 2 Likes Like |Link to Comment
  • Russian Stock Market: Cheap But Risky [View article]
    Thanks for the article. To add further to your thesis take a look at my piece. It provides additional scope on valuation and economics.

    http://seekingalpha.co...
    Oct 25, 2014. 02:19 PM | 1 Like Like |Link to Comment
  • Priceline Is On Sale [View article]
    I am in your camp. We have done some substantial due diligence on the company and it is in my view nearing where Apple was a year ago. While valuation wise, much different, I think in simplicity terms PCLN can grow at 15-25% with a 19 target multiple over next five years. That is almost 16% annual return.
    Oct 22, 2014. 08:41 PM | 1 Like Like |Link to Comment
  • Wix's Growth Offers Potential Upside [View article]
    Thanks for the follow-up.
    Oct 22, 2014. 10:43 AM | 1 Like Like |Link to Comment
  • Wix's Growth Offers Potential Upside [View article]
    My question for his company is what is the multiple which you suggest is attractive. A 6 times sales is not cheap for any industry. Just would help if you could walk through your rationale on how it is attractive. Love the company prospects.
    Oct 21, 2014. 08:08 PM | Likes Like |Link to Comment
  • Paycom: High Expectations Seem Misplaced [View article]
    Sorry I meant middle size. PAYC is right between the two, filling the void.
    Oct 10, 2014. 09:12 AM | Likes Like |Link to Comment
  • Wix: Future Growth Underestimated [View article]
    I really like WIX as a product and as a company. The growth potential is enormous and the vertical integration and Apple like app market is likely to create a high level of switching costs. Once a user is in the eco-system is will be hard to switch. Not only does the app market create a high switching cost, it is an active revenue source for the company. The international exposure, alternate language features are also nice, and their own proprietary payment platform highlight their innovative mindset. The biggest thing for me is valuation, and with WIX is it difficult to figure out. I looked at private market transactions, and public peer comps. The most likely target level is an EV/Sales of 3.0-4.0, which is a slight premium to M&A levels in 2012. At this rate, WIX will be there in 1.5-2.5 years. I think it is an interesting company with little to no attention from the big banks, which is a good thing to find alpha opportunities. In summary, there are concerns of competition, however I think they are doing a great job of keeping their brand in front of audiences, while improving their product. It is a buy in my book, but keep a strong stomach, long term view, and follow closely.
    Oct 9, 2014. 11:18 AM | Likes Like |Link to Comment
  • Wix: Future Growth Underestimated [View article]
    Interested to hear why you think 5 times sales is a satisfactory valuation level for WIX.
    Oct 9, 2014. 09:03 AM | Likes Like |Link to Comment
  • Paycom: High Expectations Seem Misplaced [View article]
    You didn't touch on their target market, which is small businesses. Something in which the large players such as Paychex and ADP do not focus on. Interesting no comments, which highlights the lack of retail care of this company. Actually something that sets up fairly good for a long term story. High growth, low coverage.
    Sep 5, 2014. 07:02 PM | Likes Like |Link to Comment
COMMENTS STATS
42 Comments
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