uniQure: Further Upside Likely As The Opportunity Becomes Better Understood

Company Insights - uniQure's stock experienced a significant increase of over 300% following the announcement of stronger-than-expected trial data for Huntington's disease [1] - Despite this surge, the market appears to undervalue uniQure, likely due to uncertainties regarding the validity of the trial results [1] Investment Strategy - Narweena, an asset management firm led by Richard Durant, focuses on identifying market dislocations caused by misunderstandings 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 high barriers to entry [1] - Narweena's investment approach emphasizes company and industry fundamentals to uncover unique insights, with a preference for smaller-cap stocks and less obvious competitive advantages [1] Market Trends - An aging population with low growth and stagnating productivity is expected to create new investment opportunities, differing from past trends [1] - Many industries may face stagnation or secular decline, which could paradoxically enhance business performance due to reduced competition [1] - Conversely, some businesses may encounter rising costs and diseconomies of scale, impacting their performance negatively [1] - The economy is increasingly characterized by asset-light businesses, leading to a declining need for infrastructure investments over time [1] - A large pool of capital is pursuing a limited number of investment opportunities, resulting in rising asset prices and compressed risk premiums [1]