Speedwell Weekly Recap
Edition #6: RH Podcast, Copart Deep Dive, Efficiency is Forever, Outcome Optimization, Taking Credit Risk circa 2007, and The $330bn Footnote
This is a series where we compile some of the best content we put out each week. You can expect to get a mix of interesting and insightful takeaways on various businesses and investing! Follow us at @speedwell_llc and @kevg1412 for more timely updates!
Long Form
RH Podcast
This past week, we were invited on Business Breakdowns to talk about $RH. From near bankruptcy selling Mayonnaise spreaders and Moon Pies to incredible showrooms that generate well over $100mn, it’s one of the greatest business turnarounds. Learn more about the company and its story on the podcast here and our company deep dive here.
Copart Deep Dive
This week we released our full 20,000+ word research report on Copart. From junk yards and wrecked cars to a duopoly with 30% margins and two self-made billionaires, you can learn about the story of Copart and purchase the full report here.
The $330bn Footnote
This week we also released a new installment of our Investor Education Series where we dove into Alibaba and JD to show how investors can utilize financial disclosures to better understand businesses.
Most investors have heard about how important it is to “read the footnotes”, but few have had many, if any, experiences in that actually making a difference to their investment thesis.
To highlight the importance of footnotes, in this post we go through a real world case study of Alibaba to show how financial disclosures can potentially change an investor’s understanding of a business’ future prospects.
Short Form
Walker & Dunlop (Coming Soon)
Copart
RH
Constellation Software
General History
Letters
Compilations
Other Links of Note
Long Form
Short Form
Sam Zell on projecting net gains for the rehabilitation of distressed properties
Sam Zell on the three important rules for structuring the financing of distressed deals
Ho Nam on how Altos Ventures evaluates new software investments (2007)
Sam Zell on the 5 major considerations when analyzing distressed properties
Mike Moritz on the difference between public markets and venture
Thanks for reading this week’s roundup! If you have any questions or suggestions on what you’d like to see more of, please reach out!