Emerging value updates 6
Hello everyone !
Here comes another quick update.
Summary.
Newsletter update
Write ups
Company updates
Movements
Hello and welcome to new subscribers. We are now over 5130.
I hope that you will learn about new companies in hidden corners of the markets here and my goal is to provide value for everyone.
I have actually been busy focusing on preparing the tax filings for 2024, and a few things came to my mind.
Firstly, the net capital gains are very low despite a decent return, due to low turnover, and to some losses that compensate the wins. The low turnover is the path that I want to continue in the future.
I could have higher returns eventually by selling well valued companies, paying capital gains tax and buying cheaper value shares. I think this is more appropriate for an enterprising investor.
I still had too much turnover compared to what I would like to. Some was forced by take overs and some was caused by my decisions.
Other than this I am focusing on the long term, and filing this report pleases me:
I can see when I increased my ownership of some good businesses with more shares than last year. This is really the slow, boring snowball that works.
I use Koyfin for all my data analysis on stocks, graphs, and watchlists, and I have a discount with my affiliate link here. It’s a product with real value for me. The free version is great too! 
I wrote up about Jardine Matheson part 2, a value Asian conglomerate
Ashmore and CKH Update by Guy Davis
French quality company Robertet Podcast
I profiled a Japanese SAAS company ($)
Polish tools company Toya is a good quality company at a low valuation.
Polish stocks substack with a hidden gems here : This company is well known to my premium subscribers since 2023. This is really the type of hidden gems I try offer in my publication.
CK Hutchison:
Plans to sell the harbor business for 19 Billion USD.
Market cap is 19 Billion USD. CK infrastructure is also in talks to buy the bankrupt Thames water distribution company in London for 7 Billion USD. This comes after the Three - Vodafone merger was approved in the UK. I am not a fan of the water acquisition, but we will see the final terms and price rises allowance by the regulator.
CK Hutchison is making moves, but there remains to be seen what they want to do with the freed cash. Buybacks would be great, or a higher quality business would be good.
PayPal:
PayPal had their investors day. There is a large slide document. The company aims for a low 6%-10 EPS growth in 2025, increasing to low teens growth in 2027.
There are many technical slides, the main take away I see is one PayPal, unifying all their offerings into one platform, and a first serious start at a ads and sales engine.
It seems that the company finally understood that it needs to be a consumer company and not just a payment company, but it still needs to go through a final optimisation phase to unite all their platforms (Braintree, PayPal, Venmo, Xoom).
PayPal also announced an expanded partnership with Verifone to deliver seamless omnichannel payment acceptance solutions to enterprise merchants - I am more skeptical about this. People usually pay with Apple pay or Google pay in stores. But let’s see if they can pull it off.
I actually used Xoom two times to send money to different Emerging markets and it was great. Funds deposited quickly across the seas and the experience was integrated in the PayPal app.
>>More updates below in the premium section, with a Portuguese language flavor this week:
A new acquisition and earnings estimate by a Portuguese small cap that remains attractive
A X thread I found about a second quality company in Brazil that I bought last year.
not much movements, just adding to a Brazilian quality company.
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