Core Viewpoint - Booking Holdings (BKNG) is viewed as a strong long-term investment opportunity, particularly following a recent decline attributed to concerns over travel and competition from AI [1]. Group 1: Company Overview - Booking Holdings has demonstrated solid compounding growth over time, indicating its resilience and potential for future performance [1]. Group 2: Investment Perspective - The recent pullback in Booking Holdings' stock price is seen as a buying opportunity, suggesting that current market fears may be overblown [1].

Core Insights - Pzena Focused Value Strategy underperformed the Russell 1000® Value Index in Q4 2025, with a net return of 2.5% compared to the Index's 3.8% [1] - The firm identifies appealing valuation differences in the current market, suggesting a favorable environment for long-term value investors [1] Company Analysis: Knight-Swift Transportation Holdings Inc. (NYSE:KNX) - Knight-Swift Transportation Holdings Inc. is a freight transportation services provider with a market capitalization of $8.945 billion, closing at $55.10 per share on January 30, 2026 [2] - The stock experienced a one-month return of 1.94% but has lost 1.13% of its value over the past 52 weeks [2] - Pzena initiated a position in Knight-Swift during Q4 2025, noting that the company is facing a prolonged freight downturn due to excess capacity from the 2021 profit peak, which is impacting rates and earnings [3] - The firm believes that Knight-Swift's scale and network efficiency will enable profitability to recover as market conditions normalize [3] Hedge Fund Interest - Knight-Swift Transportation Holdings Inc. was held by 44 hedge fund portfolios at the end of Q3 2025, an increase from 43 in the previous quarter [4] - Despite its potential, the company is not among the 30 most popular stocks among hedge funds, with some analysts suggesting that certain AI stocks may offer greater upside potential [4]

Core Insights - Identifying true value stocks requires thorough fundamental analysis beyond just key financial indicators like earnings per share and sales growth [1] Valuation Metrics - Investors often use valuation measures such as price-to-earnings (P/E) and price-to-sales (P/S) ratios, but the price-to-book (P/B) ratio is also a valuable tool for spotting attractively priced stocks with growth potential [2] - The P/B ratio is calculated as market capitalization divided by book value of equity, helping to identify low-priced stocks with high-growth prospects [2][6] - A P/B ratio of less than one indicates that a stock is undervalued, while a ratio greater than one suggests it may be overvalued [6][8] Book Value Definition - Book value represents the total value remaining for shareholders if a company were to liquidate its assets after settling all liabilities [4] - It is calculated by subtracting total liabilities from total assets, often equating to common stockholders' equity [5] Limitations of P/B Ratio - The P/B ratio is particularly useful for industries like finance and manufacturing but can be misleading for companies with significant R&D expenditures or high debt [9] - A P/B ratio of less than one may indicate weak returns on assets or overstated assets, while a ratio above one could suggest the stock is a takeover target [8][9] Screening Parameters - Stocks with a P/B ratio lower than the industry median are considered to have potential for price appreciation [12] - A lower P/S ratio compared to the industry average makes a stock more attractive [12] - A P/E ratio lower than the industry median is also a favorable indicator [13] - A PEG ratio of less than one indicates undervaluation with promising growth prospects [14] - Stocks should have a current price of at least $5 and a trading volume of over 100,000 for liquidity [15] Selected Low P/B Stocks - Invesco (IVZ) has a Zacks Rank of 1, a Value Score of B, and a projected 3-5 year EPS growth rate of 20.9% [16] - Harmony Biosciences (HRMY) holds a Zacks Rank of 1, a Value Score of A, and a projected 3-5 year EPS growth rate of 27.11% [17] - Concentrix (CNXC) has a Zacks Rank of 2, a Value Score of A, and a projected 3-5 year EPS growth rate of 8.76% [17] - Patria Investments Limited (PAX) has a Zacks Rank of 1, a Value Score of A, and a projected 3-5 year EPS growth rate of 15.39% [18] - Global Payments (GPN) has a Zacks Rank of 2, a Value Score of A, and a projected 3-5 year EPS growth rate of 11.54% [19]

Group 1 - The analyst has over a decade of experience researching various companies across different sectors, including commodities like oil, natural gas, gold, and copper, as well as technology firms such as Google and Nokia [1] - The analyst has transitioned from writing a blog to creating a value investing-focused YouTube channel, where extensive research on hundreds of companies has been conducted [1] - The analyst expresses a particular interest in covering metals and mining stocks, while also being comfortable with other industries like consumer discretionary/staples, REITs, and utilities [1]

Group 1 - Micron's stock is considered cheap despite the expected growth in the AI sector, indicating a potential investment opportunity [1][2] - The company specializes in memory chips, which are commoditized and lack pricing power compared to logic chips [2] - Current market conditions show a significant spike in RAM prices due to high demand from data centers supporting generative AI [5] Group 2 - Micron's earnings per share (EPS) are projected to rise from $8.29 in FY 2025 to $33.31 in FY 2026, with further growth expected to $42.79 in FY 2027, driven by AI demand [6] - The cyclical nature of memory demand poses a risk, as prices may drop once production capacity meets demand, leading to a potential stock slump [7] - Analysts estimate that the demand for AI-related memory chips will continue through at least 2030, providing a window for Micron to capitalize on high prices [9]

Group 1 - Ian Cassel has acquired Planet MicroCap, which has been running in-person events in the microcap ecosystem for 14-15 years, to enhance collaboration and visibility in the microcap space [5][6][8] - The upcoming event in Las Vegas from June 16th to 18th has already attracted 220 investors, indicating strong interest in microcap investments [8][10] - The iShares Micro-Cap ETF (IWC) has outperformed the S&P 500 in 2025, suggesting a "risk-on" market environment, although this may indicate a nearing end to the bull market [10][11][12] Group 2 - The microcap space has seen a significant performance boost, with profitable microcaps outperforming the S&P, which is often a sign of market frothiness [10][11][12] - There is a call for more small, profitable companies to go public, as the benefits of being public can outweigh the costs, contrary to common belief [13][14] - The microcap sector is currently benefiting from trends in resources like gold, silver, and copper, as well as AI and data centers, which are driving performance [18][19][21] Group 3 - The discussion highlights the psychological aspects of investing, categorizing investors into types such as "rabbits," "assassins," and "hunters," based on their reactions to stock performance [34][36][38] - Successful investors often let their winners run, contrasting with those who quickly take small gains, which can hinder overall returns [57][59][62] - The conversation emphasizes the importance of position sizing and the need for a balanced approach to managing investments in the microcap space [67][68]

Core Viewpoint - Harris Associates L.P. emphasizes a consistent investment philosophy focused on value investing, aiming for long-term capital appreciation through fundamental research and client service [1] Group 1: Investment Philosophy - The company believes that stock prices will eventually reflect the underlying value of the companies [1] - It seeks to identify companies trading at significant discounts to their intrinsic value, which must also demonstrate substantial profit potential [1] - The investment approach is framed as owning a piece of a business for the long term, highlighting the importance of intensive, fundamental research [1] Group 2: Research Process - The research process is characterized by a disciplined quantitative and qualitative screening method [1] - Analysts at the company are independent thinkers who do not rely on Wall Street for insights [1] - The team consists of generalists who evaluate companies based on their fundamental characteristics [1]

Core Viewpoint - Consumer staples stocks, particularly those that are currently undervalued, present a significant buying opportunity for value investors, especially in light of their underperformance compared to the broader market [1][2]. Group 1: Procter & Gamble (P&G) - P&G experienced a challenging 2025, with a stock value decline of 14.5%, reaching a near three-year low [4]. - The company reported a 1% decline in sales volume and flat organic sales growth, leading to a 5% drop in diluted net earnings per share (EPS) [5]. - P&G has adjusted its fiscal 2026 diluted net EPS growth forecast to a range of 1% to 6%, down from a previous estimate of 3% to 9% [5]. - The company is under new leadership and aims to enhance its value proposition by focusing on volume growth rather than price increases [8]. - P&G boasts a strong dividend yield of 2.9% and has increased its dividend for 69 consecutive years, making it an attractive option for income investors [9][11]. Group 2: Kimberly-Clark - Kimberly-Clark reported a modest 3.2% growth in adjusted EPS and flat adjusted operating profit, with a 1.7% increase in organic sales [12]. - The company is in a downturn but plans to acquire Kenvue to diversify its product offerings, which is expected to enhance its market position [13]. - Kimberly-Clark anticipates achieving $2.1 billion in annual cost synergies from the acquisition within three years [15]. - The company has a dividend yield of 5% and has increased its dividend for 54 consecutive years, making it appealing for value investors [17][19]. Group 3: Comparative Analysis - P&G is considered a higher quality company with a strong brand portfolio and better diversification, while Kimberly-Clark offers a cheaper valuation and higher yield, making it a potential turnaround play [20]. - Both companies are currently facing growth challenges due to a slowdown in consumer spending but continue to generate substantial free cash flow and earnings to support their dividends [20]. - A balanced investment strategy could involve a 50/50 split between both stocks, yielding an average of 4% [21].

Core Viewpoint - Global Net Lease (GNL) has shown significant recovery over the past year, yet the stock still presents value, indicating that the market may be undervaluing it despite recent improvements [1] Company Analysis - GNL's stock performance suggests that it is currently undervalued, with the market discounting its potential despite solid recovery metrics [1] - The analyst has extensive experience in researching various sectors, including commodities and technology, which informs the analysis of GNL [1] Investment Strategy - The analyst is considering initiating a long position in GNL through stock purchases or options within the next 72 hours, indicating a potential bullish outlook [2]

Core Insights - Ford Motor Company experienced a significant stock increase of 33% in 2025, which is atypical for the company [1] - Over the period from late January 2021 to January 27, 2023, Ford shares generated a total return of 58%, resulting in a portfolio balance of $158 for a $100 investment [2] - In comparison, the S&P 500 index produced a total return of 94% during the same timeframe, indicating that investors seeking substantial gains would have been better off investing in the index [2] Company Performance - The current stock price of Ford is $13.88, with a market capitalization of $55 billion [3] - The stock has a day's trading range between $13.79 and $13.98, and a 52-week range from $8.44 to $14.50 [4] - Ford's gross margin stands at 7.58%, and the company has a forward price-to-earnings ratio of 9.5, which may attract value investors [6][7] Industry Context - The automotive industry is characterized as mature, with limited potential for outsized durable growth, which poses challenges for Ford's profitability [5] - The company faces substantial expenses and capital expenditures that negatively impact profit margins and return on invested capital [5] - Despite the low forward price-to-earnings ratio, long-term optimism regarding Ford's ability to outperform the market remains low [6]