Episode 15: Results round-up: Appen, MNF Group, A2 Milk & more

Value, or value trap?

Why is it that, despite all the benefits of technology, we’re still working as much as ever to secure a decent life? I don’t have have any groundbreaking insights, but it’s fun to ponder. Plus, it’s somewhat relevant for anyone managing their own capital, particularly if you’re looking to account for any long-term, technology driven structural shifts. Here’s my take. […]

Long term investors rewarded with a 76% gain as shares recover from last year’s falls

Kiwi breast imaging software specialist Volpara (ASX:VHT) has confirmed it is on track to meet its target for NZ$17.1 million in annual recurring revenue (ARR) for the 2020 financial year. That compares with an ARR of NZ$6.6 million in the previous year, with the recent acquisition of MRS Systems expected to contribute around NZ$6.7 million to the total. At the […]

Here at Strawman, we like to poke around the lesser known corners of the market. And why not? There are lots of hidden gems to be found. In fact, there’s plenty of things to like about so-call ‘small cap’ stocks. More growth potential Less competition from other investors Less rational pricing (more opportunity to find significant mis-pricings) Better access to […]

Is there more upside to come?

When you’ve been around small-caps for a while, large daily moves aren’t unfamiliar. Much of the time, they’re best ignored. Shares in 8common (ASX:8CO) last month spiked by 29% in a single day after the business released an encouraging quarterly result. A nice gain, for sure, but one that was driven by less than $20k worth of trades. Shares are now back at where […]

Over the long run, the main driver of share price is earnings per share (EPS). If, for example, EPS has grown at 10% annually over a decade, you can be reasonably confident that the share price will show a similar appreciation. Consider REA Group (ASX:REA), whose per share earnings compounded at an average annual rate of 27% between 2004 and 2023 (yes, it’s […]