David Trainer | TalkMarkets | Page 2
CEO of New Constructs, LLC.
New Constructs leverages reliable fundamental data to provide unconflicted insights into the fundamentals and valuation of private and public businesses. Combining human expertise with cutting-edge machine learning (ML) technologies (more

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Warby Parker Direct Listing: See Through This Optical Illusion
Warby Parker Inc. (WRBY) is set to debut as a public company via a direct listing on September 29. For its last round of funding, the firm fetched a roughly $3 billion valuation. At this valuation the stock earns our Very Unattractive rating.
FCF Yield Increased In Six All Cap Index Sectors Through 2Q21
With a 4.4% FCF Yield, investors are getting more FCF for their investment dollar in the Basic Materials sector than any other sector. On the flip side, the Utilities sector has the lowest trailing FCF yield of all NC 2000 sectors.
S&P’s “Operating Earnings” Remain Overstated In 2Q21
The Operating Earnings from S&P Global for the S&P 500 continue to overstate Core Earnings, through 2Q21. We see the same problems with GAAP Earnings. Accordingly, stocks are more expensive than they appear.
Danger Zone Stocks That Missed Expectations In 2Q21 Earnings
After missing key expectations, in revenue and user growth, these businesses remain miles away from achieving the cash flows implied by their stock prices.
3 Long Ideas That Remain Attractive Post 2Q21 Earnings
After 2Q21 earnings, we still love these three Long Ideas that have excellent opportunities for profit growth and attractive risk/reward.
Robinhood IPO: Still A Bad Bet For Investors With Alarming Risk
Robinhood Markets Inc. (HOOD) is expected to debut as a public company on July 29, 2021. At an expected IPO valuation of roughly $35 billion, Robinhood earns our Unattractive rating.
Dough-Not Buy This Overpriced IPO
Krispy Kreme Inc. is expected to go public for the second time on July 1, 2021. At the midpoint of its IPO price range ($22.50 per share), Krispy Kreme is valued at roughly $3.6 billion and earns our Unattractive rating.
Didi Global’s Lower Valuation Is Still A Bad Ride For Investors
As disclosed in its amended F-1 on June 24, Didi Global is now expected to IPO on June 30 between $13 and $14/share. At the midpoint ($65 billion or $13.50/share), the stock earns our Unattractive rating.
Marqeta’s IPO Is Priced Beyond Perfection
Marqeta’s expected valuation of $12 billion implies that the company’s total processing volume will be 114% of PayPal’s, a highly unlikely outcome..
Squarespace Valuation Is Out Of This World
Squarespace (SQSP) is expected to go public via direct listing on May 19, 2021.
Netflix, A Meme-Stock Original
It’s clear that Netflix cannot generate anywhere close to the profits implied by the current stock price. Netflix is back in the Danger Zone.
More Long Ideas That Look Good Post Earnings
For years, bears believed Target’s brick-and-mortar presence would hinder its ability to gain market share. However, Target leverages its physical stores as the centerpiece of its omni-channel distribution strategy, and it is working.
The Real Earnings Season Starts Now: Time To Read Filings & Footnotes
Quarterly earnings season may be winding down, but the real earnings season – annual 10-K filing season – is ramping up.
Regulation Will Evict This Firm’s Micro-Bubble Expectations
Given the spike in disregard for fundamental risk exemplified by the GameStop frenzy, we continue our micro-bubble winners and losers theme to help investors assess fundamental risks.
Sector Ratings For ETFs & Mutual Funds: 1Q21
For the first quarter of 2021, only the Consumer Non-cyclicals, Financials, and Basic Materials sectors earn an Attractive-or-better rating. Investors looking for sector funds that hold quality stocks should look no further than these sectors.
3 Long Ideas Poised To Outperform
Allison Transmission Holdings Inc, Korn Ferry, and Johnson & Johnson are the Long Idea lowlights for 2020.
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