Roku: Lingering Profitability Concerns

Group 1 - Narweena is an asset manager that focuses on identifying market dislocations due to poor understanding of long-term business prospects [1] - The firm aims to achieve excess risk-adjusted returns by targeting businesses with secular growth opportunities in markets with barriers to entry [1] - Narweena's investment strategy emphasizes company and industry fundamentals to uncover unique insights, with a preference for smaller cap stocks and less obvious competitive advantages [1] Group 2 - The investment approach is influenced by demographic trends, particularly an aging population with low growth and stagnating productivity, which is expected to create new investment opportunities [1] - Many industries may experience stagnation or secular decline, potentially improving business performance as competition decreases [1] - The economy is increasingly characterized by asset-light businesses, leading to a declining need for infrastructure investments and a situation where a large pool of capital is chasing limited investment opportunities [1]