Core Viewpoint - Alibaba and Tencent are two major Chinese tech companies with distinct business models and growth trajectories, facing challenges from regulatory scrutiny and market competition, making their long-term investment reliability a subject of debate [1][2]. Alibaba - Alibaba's revenue primarily comes from its two main marketplaces, Taobao and Tmall, with a smaller portion from its cloud infrastructure business, which has lower margins [4]. - Over the past five years, Alibaba's stock has declined by nearly 40%, attributed to cooling economic growth, antitrust scrutiny, and trade tensions [2]. - Analysts project Alibaba's revenue and earnings per share (EPS) to grow at a compound annual growth rate (CAGR) of 8% and 11%, respectively, from fiscal 2025 to fiscal 2028, indicating a stabilization phase rather than high growth [7]. - The company is expected to leverage AI-driven recommendations and logistics upgrades to stabilize its core businesses while expanding its international marketplaces [7]. Tencent - Tencent's primary growth driver is WeChat, a super app with over 1.41 billion monthly active users, alongside its video game publishing business [8]. - Tencent's stock has seen a modest increase of 6% over the past five years, facing challenges from competition and regulatory pressures in the gaming sector [2][10]. - Analysts forecast Tencent's revenue and EPS to grow at a CAGR of 11% and 15%, respectively, from 2024 to 2027, supported by the integration of AI into its services and expansion into fintech and business services [12]. - The company is diversifying its revenue streams by enhancing its fintech services and expanding its overseas gaming business to mitigate reliance on the Chinese market [11]. Investment Comparison - Alibaba is trading at 17 times its next year's earnings, while Tencent is at 20 times, with Alibaba appearing cheaper but growing at a slower rate [13]. - Tencent is viewed as a more stable growth option due to the irreplaceable nature of WeChat for its users, despite facing competition in advertising and gaming [13][14]. - Both companies could attract more investors if U.S.-China trade tensions ease, but Tencent's growth strategies seem more robust compared to Alibaba's [14].

Core Viewpoint - Vision Capital Corp has fully liquidated its position in SL Green Realty, indicating ongoing skepticism in the office real estate market despite some positive leasing progress by the company [1][2][7]. Company Overview - SL Green Realty Corp is the largest office landlord in Manhattan, focusing on high-value commercial properties and operating as a real estate investment trust (REIT) [5]. - As of the latest report, SL Green's market capitalization stands at $3.48 billion, with a revenue of $910.38 million over the trailing twelve months (TTM) and a dividend yield of 6.7% [4]. Recent Performance - In the third quarter, SL Green reported funds from operations of $1.58 per share, an increase from $1.13 a year earlier, and same-store occupancy rose to 92.4%, with expectations of reaching 93.2% by year-end [6]. - The company signed over 650,000 square feet in leasing activity during the quarter, indicating a meaningful uptick in leasing [6]. Market Sentiment - Despite the positive operational metrics, SL Green's stock has declined approximately 32% over the past year, underperforming the S&P 500, which has increased by about 16% in the same period [3][7]. - The exit of Vision Capital suggests that concerns regarding office demand, refinancing risks, and the long-term impact of remote work continue to overshadow the company's incremental progress [7][9].

Core Viewpoint - The cannabis industry has seen significant stock growth recently, driven by optimism regarding regulatory changes in the U.S. cannabis market, particularly following President Trump's executive order reclassifying cannabis to a Schedule 3 drug [2][4]. Group 1: Market Performance - Tilray Brands' shares have increased by 125% over the past six months, while Curaleaf Holdings' shares have risen by 212% during the same period [1]. - Current market capitalization for Tilray Brands is $1.0 billion, with a current price of $9.03 and a gross margin of 20.17% [6]. - Curaleaf Holdings has a market capitalization of $1.9 billion, with a current price of $2.52 and a gross margin of 35.95% [8]. Group 2: Regulatory Impact - The reclassification of cannabis will not legalize it at the federal level but will facilitate research into medical uses, improve banking access for cannabis companies, and allow for normal business expense deductions [4]. - This regulatory change could lead to a lower effective tax rate for multistate operators (MSOs) like Curaleaf Holdings, potentially improving their financial performance [4][5]. Group 3: Industry Challenges - Despite the positive regulatory changes, the inability to engage in interstate commerce remains a significant barrier, forcing MSOs to manage their supply chains independently in each state, which increases operational costs [7]. - The loosening restrictions may attract more competition, leading to potential oversupply issues that could depress prices and hinder profit generation for companies [9]. - The presence of illegal channels for cannabis sales in the U.S. continues to pose a challenge, and it is uncertain if recent regulatory changes will significantly impact this issue [9]. Group 4: Future Outlook - The current rally in cannabis stocks may extend into the next year but is expected to lose momentum thereafter, suggesting a cautious outlook for sustained growth in the industry over the next few years [10].

Market Outlook - Wall Street firms are uniformly bullish on the stock market for 2026, with an average predicted gain of 9% among surveyed analysts [8] - The most optimistic predictions come from Oppenheimer and Deutsche Bank, both forecasting the S&P 500 to exceed 8,000, representing a 16% increase, while Stifel Nicolaus predicts a modest rise to 7,000, a 1.3% gain [9] Economic Indicators - The U.S. economy is growing at a rate near its historical trend, with the Federal Reserve Bank of Atlanta estimating a real GDP growth rate of 3% [11] - The unemployment rate is currently at 4.4%, which is low by historical standards, supporting rising stock prices [11] - Anticipated large tax refunds and business incentives in 2026, following the One Big Beautiful Bill Act, are expected to stimulate the economy [12] - The Federal Reserve has cut its target interest rate three times since August, with expectations for at least two more cuts in 2026, potentially accelerating the easing [13] Corporate Earnings - Corporate earnings are projected to drive stock prices higher, with Yardeni Research estimating S&P 500 earnings per share to rise from $268 in 2025 to $310 in 2026, a 16% increase [14] - FactSet reports an average estimate for year-over-year earnings growth for the S&P 500 in 2026 at 15%, with the "Magnificent Seven" companies expected to grow earnings by 22.7% [15]

Company Overview - EPAM Systems, Inc. is a global technology services provider with a market capitalization of $11.41 billion and over 60,000 employees, focusing on digital transformation projects and maintaining a diversified client base [4][7] - The company reported a trailing twelve months (TTM) revenue of $5.30 billion and a net income of $371.62 million [4] Recent Developments - Wishbone Management initiated a new position in EPAM Systems by acquiring 100,000 shares valued at $15.08 million, representing 8.11% of the fund's 13F reportable assets under management as of September 30 [2][3] - EPAM shares are currently priced at $204.88, down 12% over the past year, while the S&P 500 gained approximately 16% during the same period [3] Financial Performance - EPAM reported $1.394 billion in third-quarter revenue, reflecting a year-over-year increase of 19.4%, and raised its full-year revenue outlook for 2025 to approximately $5.43 billion to $5.45 billion [5][8] - The company has also repurchased $82.1 million of its stock during the quarter and authorized an additional $1 billion buyback program [8] Strategic Positioning - EPAM stands out as the only pure-play digital engineering name in Wishbone Management's portfolio, which includes exposure to industrial distribution, airlines, and payments infrastructure [9] - The company's services span AI, automation, and digital design, serving clients across various industries including financial services, travel, software, media, and healthcare [7]

Core Insights - HoldCo Asset Management has established a new position in Comerica, acquiring 2.29 million shares valued at $156.94 million, making it the largest holding in the fund's portfolio [2][6] - Comerica's shares have increased by 41% over the past year, significantly outperforming the S&P 500, which rose by about 16% during the same period [3][8] - The new position in Comerica accounts for 16.56% of HoldCo's 13F assets under management [3][6] Company Overview - Comerica is a leading regional financial institution with a diversified business model that includes commercial banking, retail banking, and wealth management [5][7] - The company serves a wide range of clients, including small and middle-market businesses, multinational corporations, government entities, and individual consumers [7] - As of the latest report, Comerica's market capitalization is $11.11 billion, with a revenue of $3.34 billion and a net income of $717 million for the trailing twelve months [4] Financial Performance - In the latest quarter, Comerica reported a net income of $176 million, or $1.35 per share, which is a decrease from $184 million a year ago [9] - The bank's net interest income remained stable at $574 million, with average deposits rising to $62.7 billion [9] - Comerica's common equity tier 1 ratio is at 11.9%, exceeding management's long-term target, and the bank executed $150 million in share repurchases during the quarter [9] Market Position - Comerica's performance is notable within the regional banking sector, as the S&P Regional Banks Select Industry Index is up about 9% over the past year, still 18% below 2022 highs [8] - The fund's top holdings are concentrated around regional banks, indicating a strategic overweight in this sector rather than a one-off investment in Comerica [10]

Core Points - The Social Security program will undergo several changes in 2026 that will impact beneficiaries, including an increase in benefits and adjustments to eligibility criteria [1] Group 1: Benefit Adjustments - Benefits will increase by 2.8%, raising the average monthly benefit from $2,015 to $2,071, which is a $56 increase [3] - The maximum monthly benefit for the wealthiest beneficiaries will rise to $5,251 from $5,108, requiring maximum taxable earnings for at least 35 years [5] Group 2: Retirement Age and Claiming Benefits - The full retirement age (FRA) has increased to 67 for individuals born in 1960 or later, with no further increases planned at this time [6][7] - Early claimers turning 62 in 2026 will see a maximum benefit of $2,969 per month, although this is 30% less than what they would receive at FRA [8][9] Group 3: Earnings Test Adjustments - The earnings test thresholds have increased, allowing beneficiaries under FRA to earn up to $24,480 before losing $1 for every $2 earned, up from $23,400 in 2025 [10][11] - For those reaching FRA in 2026, the threshold will be $65,160, allowing them to lose $1 for every $3 earned over this limit [11] Group 4: Disability Benefits - The Substantial Gainful Activity (SGA) limits for disabled beneficiaries have increased, allowing blind individuals to earn up to $2,830 and non-blind individuals up to $1,690 without losing benefits [13]

Core Insights - Columbia Banking System is experiencing a strategic shift with a focus on capital accumulation, margin expansion, and significant share buybacks despite slowing headline profits [1][12] Company Overview - Columbia Banking System operates as a regional financial institution with a strong presence in the Pacific Northwest and California, offering a diversified banking model that includes both lending and non-interest income streams [6][9] - The company has recently completed a transformative acquisition, increasing total assets to approximately $67.5 billion and achieving a net interest margin of 3.84%, up from 3.56% a year earlier [10] Financial Performance - For the trailing twelve months (TTM), Columbia Banking System reported revenue of $2.07 billion and net income of $478.68 million, with a dividend yield of 5% [4] - The company’s GAAP EPS fell to $0.40 from $0.73 in the prior quarter due to merger and restructuring costs, but the operating EPS was reported at $0.85, indicating strong normalized earnings power [11] Investment Activity - HoldCo Asset Management increased its stake in Columbia Banking System by purchasing 1.24 million shares valued at $31.48 million, bringing its total holdings to 5.72 million shares worth $147.30 million as of September 30 [2][3] - Columbia Banking System now represents 15.55% of HoldCo's $947.56 million assets under management (AUM) [3] Strategic Initiatives - The management has authorized a $700 million share repurchase program through late 2026, reflecting confidence in the bank's ability to generate excess capital even after a major acquisition [12] - The bank's core deposit growth increased by approximately $14 billion quarter over quarter, reaching $55.8 billion, largely attributed to the recent acquisition [10]

Company Overview - BankUnited is a regional banking institution with a significant presence in Florida and the New York metropolitan area, focusing on commercial banking and technology-enabled services to drive stable earnings and maintain a competitive position among regional banks [5][8] - The bank offers a comprehensive suite of deposit products, commercial and consumer loans, and treasury management services, primarily serving commercial businesses, small and medium-sized enterprises, and individual consumers [8] Financial Performance - For the latest quarter, BankUnited reported a net income of $71.9 million, or $0.95 per share, with a net interest margin of 3.00%, up from 2.93% in the prior quarter [6] - Year-to-date earnings reached $199.1 million, reflecting a 22% increase year over year, despite flat deposits and easing funding costs [6] - The bank's revenue for the trailing twelve months (TTM) is $1.07 billion, with a net income of $268.40 million and a dividend yield of 3% [4] Investment Activity - HoldCo Asset Management disclosed a new stake in BankUnited, purchasing 936,900 shares valued at approximately $35.75 million, which represents 3.77% of its $947.56 million in reportable U.S. equity assets [2][3] - As of the latest filing, BankUnited shares were priced at $44.57, reflecting a 17% increase over the past year, slightly outperforming the S&P 500's 16% gain during the same period [3] Capital Strength - BankUnited ended the quarter with a Common Equity Tier 1 (CET1) ratio of 12.5%, and its tangible book value increased by 8% year over year to $39.27 per share, indicating strong capital strength [9]

Core Insights - HoldCo Asset Management has increased its stake in Eastern Bankshares by acquiring 1.2 million shares, raising its total investment to $116.32 million, making it the fund's fourth-largest equity holding [2][6] - Eastern Bankshares has shown strong financial performance with a net income of $106.1 million for the latest quarter, reflecting a 6% increase year-over-year, and steady loan growth of 1.3% quarter-over-quarter [8] Company Overview - Eastern Bankshares is a regional financial institution with a market capitalization of $4.15 billion and a revenue of $651.22 million over the trailing twelve months (TTM) [4][5] - The company offers a diverse range of services including traditional banking, insurance, and wealth management, primarily serving retail customers, small businesses, and commercial clients in eastern Massachusetts and southern New Hampshire [5][7] Financial Performance - The stock price of Eastern Bankshares is currently $18.43, which is up approximately 7% over the past year, although it has underperformed compared to the S&P 500, which is up about 16% [3] - Wealth management assets have reached a record high of $9.2 billion, indicating strong growth in this segment [8] Investment Context - The increase in HoldCo's investment during a period of earnings momentum suggests confidence in Eastern Bankshares' fundamentals, which are expected to perform well despite sector volatility [6][8] - The portfolio of HoldCo Asset Management is heavily weighted towards regional banks, indicating a thematic investment strategy focused on the potential for value compounding in select banks [8]