marginofsanity.substack.com/@margin-of-sanity
Bio
The author's aim is to beat the market over a life-time, to learn about the world, and get to the bottom of how things actually work. This is a platform for learning, investing, and staying calm.
Ideas
2 Ideas
Cold-Part | $CPRT and the "Storm of the Century."
The author is bullish on Copart ($CPRT), a vehicle salvage auction company. The recent snowstorm is expected to be a tailwind for the business. Copart's business model of owning its yards is superior to its competitor, RB Global, which rents its yards. This is especially true during extreme weather events. The author bought the stock at around $38/share.
$KSPI | Cash or Kaspi - A Wildly Cheap Regional Powerhouse
Kaspi.kz is a super app in Kazakhstan with a dominant market position in payments, e-commerce, and fintech, used by 75% of the population. The company exhibits strong financial characteristics, including a low P/E ratio (7x TTM, 6.5x forward), high ROE (>50%), and significant earnings growth (>25%). Despite its impressive performance and valuation, the stock faces risks related to geopolitical instability (Russia), currency fluctuations, and uncertainties surrounding its expansion into Turkey. A short report from Culper Research raised concerns, but the author suggests they are largely debunked. The investment thesis hinges on whether the company's strong fundamentals and cheap valuation outweigh the macroeconomic and geopolitical risks.