Xometry: Growth Set To Continue Accelerating (Downgrade)

Company Performance - Xometry (XMTR) reported strong Q3 results with significant revenue growth and narrowing losses [1] - Guidance for Q4 suggests a moderation in growth, but this may be overly conservative, with expectations for continued growth [1] Investment Strategy - Narweena, an asset manager led by Richard Durant, focuses on identifying market dislocations due to misinterpretations of long-term business prospects [1] - The firm aims for 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 [1] Market Trends - An aging population with low growth and stagnating productivity is expected to create new investment opportunities, differing from past trends [1] - Some industries may experience stagnation or secular decline, potentially improving business performance due to reduced competition [1] - The economy is increasingly influenced by asset-light businesses, leading to a decline in infrastructure investment needs [1] - A large pool of capital is pursuing a limited set of investment opportunities, resulting in rising asset prices and compressed risk premia over time [1]