The Market Maven - Week 7
F.I.L.A., Ecovyst, Kaspi
F.I.L.A 🇮🇹 (BIT:FILA, EV: €784M, Last Close: €10.30)
FILA is an Italian maker of high-end pencils, paper, and paints used in fine arts schools and by hobbyists. Its leading brands include Dixon Ticonderoga, Canson, Giotto, and Strathmore. FILA’s stake in its Indian-listed business, DOMS, currently trades at €8.65 per share, while FILA’s core business is generating €40-50 million of free cash flow.
Ecovyst 🇺🇸 (NYSE:ECVT, EV: $1.7B Last Close: $8.12)
Ecovyst is a provider of essential specialty chemicals, catalysts, and services. Revenues are high-margin and come with 3 to 5 year contracts. Management has been buying back shares and intends to sell its Advanced Materials & Catalysts segment, which accounts for a third of the business. The company trades for under 8x EBITDA, while specialty chemical peers trade around 12-18x.
Jeff Bronchick and Andrew Leaf on the Yet Another Value Podcast Discussing Ecovyst (Link).
A VIC Writeup (Link).
Ecovyst’s Latest Investor Presentation (Link).
Kaspi 🇰🇿 (NASDAQ:KSPI, EV: $18.2B Last Close: $95.49)
Kaspi started offering financial services in 2007 and has since expanded into Kazakhstan's Super App platform. Payments, e-commerce, travel, grocery, government services, and more are all available through their mobile app. An impressive 47% of Kazakhstan's entire population visits the app daily. The company recently expanded into Turkey through an acquisition and has relisted on the Nasdaq. Shares trade for 8 times fast-growing earnings with a dividend yield north of 7%.
Business Breakdowns Episode on Kaspi (Link).
Interview with Founder and CEO Mikhail Lomtadze (Link).
Substack Writeup from Matt Newell (Link).
Check Out: Data Update 1 for 2025 - Aswath Damodaran
Disclosure: This newsletter does not provide investment advice. Information presented is for informational purposes only and should not be considered a recommendation to buy or sell securities. The author may or may not own the securities discussed.