A Company in 500 words 21 to 30
Wonder Stocks is dedicated to identifying truly outstanding investment opportunities, which are rare and require extensive research to uncover. Our “A Company in 500” series reflects this effort, evaluating numerous businesses to find those with exceptional potential. Most companies, while often well-run, don’t meet our high standards for transformative returns.
The below provides a short summary of ten companies.
These 10 summaries included a Lloyds insurance investor, a tobacco giant, a Ukranian iron pellet processor, a copper miner, a soft-furnishings retailer, three asset managers, a foundations engineer and RELX.
Companies Not Worth Further Review:
Helios Underwriting: A company that invests in different insurance syndicates. Competently managed but management are too greedy for shareholders ever to make meaningful returns.
British American Tobacco: Makes cancer sticks. Dying industry - probably for the best.
Ferrexpo: A business processing iron pellets in a part of the world where you don’t actually know if you still own what the company says you own.
Antofagasta: Named for the Chilean region in which it operates. Too many variables to be Wonder stock but given teh right tailwind, it could be a decent enough investment for the brave.
Dunelm Group: A largely played out roll out story of a business that retails soft-furnishings in the UK.
Aberdeen Group: Large asset manager. Not well managed and not in a good industry.
Premier Miton Group: Mid-sized asset manager. As above
Mercia Asset Management: Small asset manager. It has a much more interesting niche than those above but is niche and part of its ability to etract good returns relies on it staying niche. Niche does not go with the growth required to make a Wonder Stock
Keller Group: A foundations engineer. There are times in the cycle when good money can be made in this company but it is only ever a trading stock and not suitable for Wonder Stocks.
RELX: A superb busines that provides information and analytics across different sectors. Its too big and plodding to be a Wonder Stock but it’s a good business nonetheless.
Summary: Of these ten companies reviewed, none meet Wonder Stocks’ criteria for further work. Our high standards mean few businesses will stand out, but the search for exceptional investments continues.
Wonder Stocks creates three 500 or less word summaries of companies per week. These exist to create a filter to find companies that are truly exceptional. A library of all stocks covered can be found here - these are and will always be free to read. The very best ones are covered in greater detail on our Deep Dives where we go into detail about why these companies have the potential to generate truly Wonderful returns. The first six Deep Dives are free, but accessing new investment insights requires a subscription upgrade.
Click here to see summaries of the previous ten companies.
