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Isaac B.'s avatar

I'm also in the sidelines with Hermes for the same reason but I'll start a position soon. Quality companies always are at a premium and fundamentals are much better than LVMH.

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Wolf of Harcourt Street's avatar

Likewise I was tracking LVMH but after the last earnings quarter it’s clear that a lot of LVMH brands are aspirational luxury whereas Hermes is true luxury. It’s an important distinction because true luxury does not get impacted by economic downturns.

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Isaac B.'s avatar

Totally agree. I'll admit that LVMH valuation is enticing at the moment, but HERMES performed much better this latest Q. This is telling. Hopefully you'll do a valuation analysis soon.

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Wolf of Harcourt Street's avatar

Good suggestion!

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MB657's avatar

Great update. Are you considering any more Nu now it has pulled back close to $12?

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Wolf of Harcourt Street's avatar

Thank you. My cost basis is below $10, and with a current weight of almost 6%, it's not at the top of my list, but I still think it's attractive at these levels.

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MB657's avatar

Got it. Makes sense. You were in earlier than me!

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Wolf of Harcourt Street's avatar

Lets just say NU is looking a lot more interesting than it was two days ago after the drop

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Kroker Equity Research's avatar

Great post! Hermes is always on my watchlist too, but always too expensive :(

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Wolf of Harcourt Street's avatar

Agree but it's been expensive for a reason. It has crushed the market over every time period.

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