Latest news with #bullishThesis
Yahoo
2 days ago
- Business
- Yahoo
VeriSign, Inc. (VRSN): A Bull Case Theory
We came across a bullish thesis on VeriSign, Inc. (VRSN) on Incremental Returns' Substack. In this article, we will summarize the bulls' thesis on VRSN. VeriSign, Inc. (VRSN)'s share was trading at $275.56 as of 2nd June. VRSN's trailing and forward P/E were 33.69 and 31.25 respectively according to Yahoo Finance. Copyright: ralwel / 123RF Stock Photo Verisign (VRSN) exemplifies a business fortified by regulatory structure, technical prowess, and systemic inertia, forming one of the most defensible competitive moats in modern infrastructure. At the heart of its advantage is an exclusive contractual relationship with ICANN and the U.S. Department of Commerce, which effectively ensures its ongoing control over the .com and .net domain registries. The inclusion of a presumptive right of renewal clause in these contracts gives Verisign a near-perpetual license, assuming compliance, creating a regulatory fortress that would be nearly impossible for any competitor to penetrate. Complementing this legal insulation is Verisign's unmatched technical track record, having provided 26 consecutive years of uninterrupted DNS service. This operational excellence not only underpins its credibility but also raises the bar prohibitively high for any aspiring challengers who would need to match Verisign's reliability and security to even be considered viable alternatives. Further reinforcing its position are the immense systemic switching costs. The risks associated with transitioning the core registry functions for .com and .net domains create powerful disincentives for any change, as even minor disruptions could jeopardize global internet stability. While Verisign lacks consumer-facing brand recognition, the ubiquity and credibility of .com and .net domains—holding a combined 46% market share among top-level domains—cement its position in the digital landscape. This brand association with legitimacy and trust creates a self-perpetuating advantage. In totality, Verisign's combination of regulatory entrenchment, technical supremacy, switching frictions, and domain dominance forms a long-lasting competitive shield, suggesting its strategic position is likely secure for decades to come. VeriSign, Inc. (VRSN) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 45 hedge fund portfolios held VRSN at the end of the first quarter which was 41 in the previous quarter. While we acknowledge the potential of VRSN as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Sign in to access your portfolio
Yahoo
2 days ago
- Business
- Yahoo
Century Casinos, Inc. (CNTY): A Bull Case Theory
We came across a bullish thesis on Century Casinos, Inc. (CNTY) on The Hermit's Substack. In this article, we will summarize the bulls' thesis on CNTY. Century Casinos, Inc. (CNTY)'s share was trading at $1.99 as of 29th May. CNTY's trailing and forward P/E were 17.08 and 19.16, respectively, according to Yahoo Finance. Copyright: sainaniritu / 123RF Stock Photo Century Casinos' long-established operations in Colorado offer a clear window into the company's disciplined and founder-led approach to asset management. On a recent site tour through the western and midwestern U.S., including stops in Nevada, Arizona, New Mexico, Colorado, and Nebraska, the focus centered on Century's legacy properties in Cripple Creek and Central City—its first acquisitions dating back to 1996 and 2006, respectively. These casinos, with nearly three decades of operational continuity, reflect the founding vision of Erwin Haitzmann and Peter Hoetzinger and serve as operating templates for Century's broader portfolio. Unlike newer properties that prioritize revenue growth, the Colorado locations are highly optimized for cost control, acting more as dependable cash flow generators than aggressive growth engines. This disciplined structure enables Century to fuel expansion in other markets, such as their recent acquisition in Sparks–Reno, Nevada. Vice President Ahmad Ahmad expressed optimism for the region, noting that while the properties are smaller in scale, they punch above their weight in profitability. The site visit involved in-depth conversations with local staff and patrons, offering a qualitative perspective on service standards, food and beverage quality, and hotel experience. Special attention was paid to room cleanliness and hospitality, with a hospitality-savvy associate applying a thorough checklist to assess guest accommodations. The hands-on, grassroots evaluation provided more than just operational insights—it highlighted how culture and team partnerships enhance the investment process. Overall, Century's Colorado properties underscore a strategic foundation of fiscal prudence, reliable cash flow, and executional consistency that support its broader expansion story. Century Casinos, Inc. (CNTY) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 9 hedge fund portfolios held CNTY at the end of the first quarter which was 10 in the previous quarter. While we acknowledge the potential of CNTY as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
31-05-2025
- Business
- Yahoo
Deere & Company (DE): A Bull Case Theory
We came across a bullish thesis on Deere & Company (DE) on Best Anchor Stocks' Substack. In this article, we will summarize the bulls' thesis on DE. Deere & Company (DE)'s share was trading at $507.99 as of 28th May. DE's trailing and forward P/E were 24.54 and 27.62 respectively according to Yahoo Finance. Pixabay/Public Domain Deere & Company recently posted impressive quarterly results, beating both revenue and EPS expectations by double digits, with EPS surprises averaging 16% across nine of the last ten quarters. Despite being a cyclical business, Deere continues to outperform due to structurally higher profitability that the market may still be underestimating. The standout this quarter was an 18% operating margin—only 200 bps below levels seen when revenues were 19% higher—highlighting robust cost controls and favorable mix, even as the company remains near a cycle trough. Management maintained full-year margin guidance at 14.5%, despite strong results, citing cautious expectations around tariff impacts in H2. Deere is forecasting a return to sales growth in Q4 for the first time in nine quarters, hinting that the bottom of the ag cycle may already be behind us. Potential catalysts include a new Farm Bill and trade deals that could further support demand. Meanwhile, Deere continues aggressive buybacks—$2.4 billion over the past year—reducing share count by 4%, setting the company up for strong EPS growth driven by higher margins, revenue recovery, and fewer outstanding shares. On the call, management highlighted growing tariff headwinds, mostly affecting its construction division, but also emphasized long-term U.S. investment and a competitive edge via Deere's captive financing arm. Technologically, Deere is expanding its ag tech stack into construction and growing its SaaS footprint, with adoption and renewal rates supporting a long-term shift to recurring revenue. Despite trading near all-time highs, Deere's strong fundamentals, margin resilience, and tech leadership suggest continued upside, with Brazil as a growing tailwind. For a comprehensive analysis of another standout stock covered by the same author, we recommend reading our summary of their bullish thesis on Danaher Corporation (DNH). Deere & Company (DE) is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 53 hedge fund portfolios held DE at the end of the first quarter which was 57 in the previous quarter. While we acknowledge the risk and potential of DE as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than DE but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to BlackRock. Disclosure: None. This article was originally published at Insider Monkey. Sign in to access your portfolio
