Playing the Crowd: Profiting from Recency Bias

Published on
January 3rd, 2020
Duration
15 minutes


Playing the Crowd: Profiting from Recency Bias

Trade Ideas ·
Featuring Jeff Meyers

Published on: January 3rd, 2020 • Duration: 15 minutes

Jeff Meyers of Cobia Capital is back to discuss a company he has held since the inception of his fund in 2008 — Silicom Ltd. The stock has been beaten up over the past two years after a major deal with IBM fell through in 2018. Now, investors are hesitant to price in revenues from product roll-outs that have already been announced. Meyers explains why the failure of the IBM deal was the exception, not the rule, and that investors have an opportunity to invest before revenues increase in 2020 and 2021. Filmed on January 2, 2020 in New York.

Comments

Transcript

  • ST
    Scot T.
    18 January 2020 @ 01:12
    There's a reason tech hardware stocks command lower PE ratios. Also a deal with one customer falls through and the stock takes that big a hit is not a good sign.
  • EB
    Eric B.
    13 January 2020 @ 19:39
    Good and informative interview. I do believe Jeff should take it down a few notches on the excite-o-meter.
  • JP
    John P.
    4 January 2020 @ 05:52
    I don't know how to analyze as most of this investment seems like more of a speculation on future design wins than an investment in an undervalued company. One thing I can say for sure is that no their chips cannot remotely mine bitcoin and the description of their capabilities seemed over optimistic.
  • JL
    Jinny L.
    3 January 2020 @ 12:54
    250mm market cap, israeli company with average liquidity of 16k shares a day? oh man, that is risky! israeli companies probably have as much transparency as chinese companies. only good thing is that this guy has been a long term holder but we have no idea how many shares he owns and if he has traded in and out.
  • JL
    Jack L.
    3 January 2020 @ 08:15
    The stock price chart caption is wrong. RV's charts say "Silicon," the company name is "Silicom," ending with "m."