We think now is the right time to begin building a position in $FELE. The core business remains a high-quality, replacement-driven industrial compounder. Several emerging end markets—particularly data-center liquid cooling—could materially change the company's growth profile
$SHAK launched a $10 Reese’s Peanut Butter Cup Shake this week. It looks like a great product, and it may sell extremely well, but it also encapsulates almost perfectly why we remain skeptical of the strategy Shake Shack has pursued under Rob Lynch.
When Lynch became CEO in 2024,
$CHRW — an interesting read-through from today’s Raymond James trucking note.
Raymond James highlights that the historical lag between spot and contract TL rates is shrinking materially. Historically, contract rates have lagged spot by roughly two quarters; this cycle, that lag
We owned a small position in $GAP into the print. Our thesis: Old Navy trends were improving against easier near-term comps, Gap continued to execute extremely well, Banana Republic was progressing through a steady turnaround, and Athleta remained terrible but increasingly
$URBN: Strong Sales, But Increasingly a Peak-Margin Story
$URBN shares were lifted sharply ahead of earnings, likely benefiting from the extraordinary reaction in $ANF, fear-driven covering and opportunistic buying ahead of the print. The actual URBN results and outlook do not
The debate around $WSM is increasingly becoming less about the business and more about the valuation. We have seen several posts recommending to short $WSM on a “priced to perfection” thesis. We disagree and may look to build a position and recommend this stock on weakness.
Q2
Unpopular opinion for $ANF: there is little incremental EPS contribution coming from operations. Ex the net benefit (tariff expenses last year + tariff refunds this year) and buybacks, the YTD contribution from improving operations, i.e. higher sales, is only a few cents. Third
$KSS reports Wednesday morning, and we think the setup is compelling.
We believe that Kohl’s is successfully executing against strategic initiatives to turn what was once deemed a structurally challenged department-store business into a business capable of generating consistently
