Atalaya Mining: Unearthing Value Beyond the Obvious
⛏️ Cobas invested significantly in Atalaya Mining during the COVID dip, buying shares at 'ridiculous' prices when the mine was barely profitable, anticipating a normalization.
💡 The investment thesis was strengthened by swapping out less certain assets (like banks during COVID) for Atalaya, achieving similar or better returns with perceived lower risk.
➕ Ongoing value creation comes from discoveries like the Masa Valverde deposit, potential new extraction technologies, and progress on the Touro project in Galicia, justifying holding the stock as its value increases.
Avio: The Undiscovered Gem in Space and Missile Defense
🚀 Avio develops crucial propulsion motors for the European Space Agency's rockets and assembles key components, positioning it uniquely in the space sector.
💥 A significant, rapidly growing part of its business involves missile defense systems (intercepting missiles, drones), a capability gaining importance due to recent geopolitical conflicts.
📈 Despite its small size causing it to be overlooked, Avio's missile defense segment is projected to grow fivefold, significantly boosting overall profitability and value, with substantial share price gains already realized and more expected.
Babcock International: Riding the Defense Wave to Profit
🛡️ Babcock's core business provides essential, long-term defense services, primarily maintaining the UK's military readiness, offering significant defensiveness.
📈 The company was initially bought at a discount due to its stability, saw increased investment during COVID-related price drops, and is now being sold as defense sector valuations rise.
💰 Recent share price appreciation (over 50% year-to-date mentioned) is driven by general defense sector interest, prompting Cobas to realize profits despite the company's stable outlook.
KeyCorp: Banking on Undervaluation for Quick Gains
🏦 KeyCorp was presented as a real-world example of successfully identifying an undervalued opportunity within the US banking sector for dividend and growth potential.
📈 The investment yielded a rapid return, achieving approximately 50% profit within just six months, combining both dividend income and capital appreciation.
✨ This case illustrates the concept of 'positive wealth accidents,' where thorough analysis uncovers stocks that offer significant upside potential beyond just the dividend.
Mercedes-Benz: Steady Dividends Despite Volatility
🚗 Mercedes-Benz showed more moderate capital appreciation compared to Broadcom, with a hypothetical €1,000 investment growing to €1,647 over 15 years (a 68.73% gain).
💶 Dividends played a crucial role in the total return, contributing €1,570 over the period, exceeding the capital gains for the initial investment amount.
⚠️ The company's dividend history was described as erratic, with periods of cuts or suspensions, which the presenter flagged as an undesirable trait for consistent dividend income investors.
Broadcom’s Explosive Past Growth: A 90x Return
🚀 Broadcom demonstrated phenomenal historical capital appreciation, turning an approximate $10,000 investment in 2010 into over $91,000 by 2025 in the example shown.
💰 Over the 15-year period analyzed, the investment hypothetically generated an additional $59,684 in dividends, showcasing significant income potential alongside growth.
🤔 Despite its stellar past performance, the presenter noted its current dividend yield (around 1.32% at the time of analysis) is relatively low and might not meet strict dividend investing criteria today.
Amazon at Support: A Long-Term Buying Opportunity?
🛒 Amazon is identified as a potential long-term investment, particularly for retirement portfolios.
📊 The stock is currently situated near a significant support level around $162, close to its weekly moving average ($157), presenting a potential entry point.
⏳ While viewed positively for the long term, investors need to consider the impact of dollar fluctuations on peso-denominated holdings (CDRs).
Galicia Hits Resistance After Surge: Is the Rally Over?
📈 Galicia shares experienced a significant 22% rise, reaching a key resistance area.
✋ The stock's upward momentum stalled at resistance, suggesting a pause or potential pullback is likely.
⏳ Market participants shouldn't expect an immediate, explosive rally simply due to the removal of currency controls ('cepo'), as external factors also play a role.
YPF’s Meteoric Rise: Still Room to Run or Time to Sell?
📈 YPF shares have seen a massive 753% increase since 2022, driven largely by market expectations surrounding Argentina's political and economic shifts.
📉 Despite the removal of currency controls ('cepo'), the stock price fell and is currently testing support zones, indicating potential consolidation or pullback.
🤔 While there's potential for another 100% gain to reach historical highs, the recent price action suggests caution, and entering now is not advised without further confirmation.
Johnson & Johnson Beats Estimates, Raises Guidance
📈 Pharmaceutical giant Johnson & Johnson surpassed market expectations, reporting adjusted earnings of $2.77 per share, higher than the $2.69 estimated by analysts.
💰 Quarterly sales saw a healthy increase of 2.4%, aligning with forecasts and demonstrating steady business performance.
⬆️ The company revised its operational sales projection for the year upwards, increasing the forecast to $92 billion from approximately $91.3 billion.
