Takeaway: We're hosting a 30 minute call on Wednesday, April 8 at 1:00pm EST. Dial-in details and associated materials to follow.
Upside to $68 per share versus downside to $25 per share over the next three years.
Standing Out From the Crowd
After coming down hard on NDLS, CHUY, PBPB, DFRG and SHAK over the past year, it’s probably apparent that we have a strong bias against “high growth” restaurant companies that have recently come public. Rest assured this bias has not detracted from our research process. In fact, this prior work in the small cap restaurant field has allowed us to identify a company that we believe is distinctly different from the rest – which, if you’re familiar with our work, can only be construed as a good thing.
We like ZOES on the long side for many reasons, including its:
There is little competition in the Mediterranean category which directly appeals to the health conscious millennial crowd and has the potential to become America’s next big cuisine. Due in large part to a best-in-class management team and operating philosophy, we believe ZOES will be able to grow with minimal roadblocks.
Please join us for 30 minutes on Wednesday as we walk through the intricacies of our call in a detailed Black Book.
Stephen Roach, Yale University professor and former Chairman of Morgan Stanley Asia, sits down with Hedgeye CEO Keith McCullough to discuss a number of important subjects in this extensive interview.
We added TLT to Real-Time Alerts on 4/1/14. It is up +20% since then versus 10% for the S&P 500. We remain long the Long Bond.
The exchange below is from an interview Hedgeye CEO Keith McCullough did back in July 2014. It offers a quick glimpse into why McCullough doesn’t pull punches when it comes to calling out unaccountable market pundits, commentators, etc.
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Q: You have been very vocal about your feelings towards holding stock market commentators accountable for their public recommendations or analysis of stocks. What made you begin speaking up about this?
KM: It all gets back to the founding principles of Hedgeye – Transparency, Accountability, and Trust. If we don’t #timestamp every call we make, how on earth can serious investors evaluate whether or not they should pay for our services? There is an “us vs. them” overtone to this culture war we are waging on Twitter with some of Old Wall’s newsier pundits, because the differences between what we do and what they do are significant.
We spend most of our day producing proprietary research views so that we can debate the sharpest Institutional Investors in the world on our Best Ideas. We are in their offices and in their inboxes and on their phones.
We aren’t trying to be an inch deep and a mile wide across 5,000 securities in hopes of generating advertising revenues. We aren’t trying to spin everything positive for either our own book or banking revenues either.
I probably come off as a threat to the one-man know-it-all-bands out there because I should. I have a big team that’s proving itself at the highest level, each and every market day. In many ways we are the other team, so I don’t expect those we are competing with to support us. We want to stand on the front lines for both individuals and institutions so that the opacity of Old Wall investment recommendations won’t crush their returns again.
Click here for more information on why we actually are different here at Hedgeye and how you can become a subscriber.
The Hedgeye Gaming, Lodging, and Leisure team will host a conference call this Friday (April 10) at 11AM to discuss the latest Macau data and our overall thoughts on the market and the stocks. Relevant tickers include: LVS, WYNN, MGM, MPEL, 0027.HK, 1128.HK, 1928.HK, 2282.HK, 6883.HK, and 0880.HK.
This indispensable trading tool is based on a risk management signaling process Hedgeye CEO Keith McCullough developed during his years as a hedge fund manager and continues to refine. Nearly every trading day, you’ll receive Keith’s latest signals - buy, sell, short or cover.