bizaro86 Posted August 8, 2018 Share Posted August 8, 2018 It was quite the run up before this ~20% pullback. Is anyone adding at these levels or has it just come back down to reality? Leonard's comments were very much inline with the twitter thread Liberty posted. The temporary (potentially) decrease in margins is due to the acquisition and will benefit the company in the long run. Trailing 10 year results are ~40% CAGR for share price, even after the drop. I'd love to own some of this business, and would also be very curious to hear how those of you who are long are valuing it right now... Link to comment Share on other sites More sharing options...
Pondside47 Posted August 8, 2018 Share Posted August 8, 2018 For the sake of contrarian opinion, Almost Daily Grant's from Philip Grant seems to have a problem with the lack of disclosure on the details of the acquisitions. Their 8/6 article also pointed out the short interest in Constellation Software is less than FAANG's. only 0.71% is shorted. Link to comment Share on other sites More sharing options...
Liberty Posted August 9, 2018 Author Share Posted August 9, 2018 It was quite the run up before this ~20% pullback. Is anyone adding at these levels or has it just come back down to reality? Leonard's comments were very much inline with the twitter thread Liberty posted. The temporary (potentially) decrease in margins is due to the acquisition and will benefit the company in the long run. Trailing 10 year results are ~40% CAGR for share price, even after the drop. I'd love to own some of this business, and would also be very curious to hear how those of you who are long are valuing it right now... It's something like 26x TTM FCF (and that TTM includes the abnormally low Q2). To me, that's not expensive for a business of this quality with this management. But each has to make up their own mind on that. Link to comment Share on other sites More sharing options...
villainx Posted August 9, 2018 Share Posted August 9, 2018 It was quite the run up before this ~20% pullback. Is anyone adding at these levels or has it just come back down to reality? Leonard's comments were very much inline with the twitter thread Liberty posted. The temporary (potentially) decrease in margins is due to the acquisition and will benefit the company in the long run. Trailing 10 year results are ~40% CAGR for share price, even after the drop. I'd love to own some of this business, and would also be very curious to hear how those of you who are long are valuing it right now... It's something like 26x TTM FCF (and that TTM includes the abnormally low Q2). To me, that's not expensive for a business of this quality with this management. But each has to make up their own mind on that. Just want to drop a thank you for your posts here and other places. Thanks! Link to comment Share on other sites More sharing options...
Liberty Posted August 28, 2018 Author Share Posted August 28, 2018 Acquisition at Harris: https://www.businesswire.com/news/home/20180828005204/en/Harris-Healthcare-Group-Acquires-Iatric%C2%AE-Systems Iatric Systems is a healthcare technology company dedicated to helping hospitals enhance their IT investments. We do so with our diverse healthcare experience, an extensive partner network, and our proven capabilities in privacy and security, EHR optimization, and interoperability. For 28 years, Iatric Systems has delivered solutions to more than 1,300 healthcare organizations and has integrated more than 800 vendor solutions. For more information, contact Iatric Systems at info@iatric.com, visit our website at www.iatric.com h/t Link to comment Share on other sites More sharing options...
Liberty Posted September 13, 2018 Author Share Posted September 13, 2018 Volaris buysa business from Nokia: https://www.telecomlead.com/telecom-equipment/nokia-sells-ip-video-business-to-software-firm-volaris-86386 https://www.nasdaq.com/press-release/nokia-agrees-with-volaris-group-on-sale-of-ip-video-business-and-creation-of-velocix-a-pure-play-20180913-00105 Nokia's keeping a minority interest. Link to comment Share on other sites More sharing options...
Liberty Posted September 17, 2018 Author Share Posted September 17, 2018 Jonas acquisition : https://www.jonassoftware.com/About_Us/Latest_News/Jonas_Software_Announces_the_Acquisition_of_TechMa Link to comment Share on other sites More sharing options...
QuesnelCap Posted September 20, 2018 Share Posted September 20, 2018 New Q&A is out. http://www.csisoftware.com/wp-content/uploads/2018/09/QA-September-2018-Final.pdf Link to comment Share on other sites More sharing options...
Liberty Posted September 20, 2018 Author Share Posted September 20, 2018 Volaris acquisition: https://globenewswire.com/news-release/2018/09/20/1574017/0/en/Volaris-Group-Welcomes-Helm-Operations-to-Marine-Vertical.html Link to comment Share on other sites More sharing options...
Liberty Posted September 20, 2018 Author Share Posted September 20, 2018 New Q&A is out. http://www.csisoftware.com/wp-content/uploads/2018/09/QA-September-2018-Final.pdf Nice. Two of my questions have been answered. I though it was a very nice Q&A. I like when he goes in-depth in his answers, makes the loss of the yearly letters and conference calls less painful... Link to comment Share on other sites More sharing options...
FiveSigma Posted September 20, 2018 Share Posted September 20, 2018 What's the threshold for publicly reporting an acquisition? I think they increased it recently from $10M, but I can't find the new figure. Link to comment Share on other sites More sharing options...
Liberty Posted September 20, 2018 Author Share Posted September 20, 2018 What's the threshold for publicly reporting an acquisition? I think they increased it recently from $10M, but I can't find the new figure. $50m at the parent, info from the CFO. Operating group can each set their thresholds. Link to comment Share on other sites More sharing options...
chrispy Posted September 22, 2018 Share Posted September 22, 2018 September Q&A: http://www.csisoftware.com/wp-content/uploads/2018/09/QA-September-2018-Final.pdf Link to comment Share on other sites More sharing options...
Liberty Posted September 27, 2018 Author Share Posted September 27, 2018 New one at Jonas: https://www.jonassoftware.com/About_Us/Latest_News/Jonas_Software_Announces_the_Acquisition_of_Chamel Interesting, because the release is dated August 8, but according to someone who tracks these things (@pearnick on Twitter), it was only posted now. Possibly for competitive reasons... Link to comment Share on other sites More sharing options...
Liberty Posted October 1, 2018 Author Share Posted October 1, 2018 New acquisition by Vela: https://www.coreworx.com/coreworx-announces-acquisition-by-vela/ h/t @Pearnick Link to comment Share on other sites More sharing options...
villainx Posted October 2, 2018 Share Posted October 2, 2018 Seems like a brisk pace, if I'm tracking your posts correctly. But nothing major. Is that fair read? Link to comment Share on other sites More sharing options...
FiveSigma Posted October 2, 2018 Share Posted October 2, 2018 One way to estimate acquisition price is via number of employees and an average revenue per employee. LinkedIn shows 50 employees. RBC assumes average revenue of $168K per employee in their research. This gives us ~$8.4M acquisition price for Coreworx. Per RBC excluding this deal, CSU did ~$67M in acquisitions this quarter. Decent. Link to comment Share on other sites More sharing options...
Liberty Posted October 2, 2018 Author Share Posted October 2, 2018 Seems like a brisk pace, if I'm tracking your posts correctly. But nothing major. Is that fair read? That's my read too. Nothing above CSI $50m press release threshold recently. Hard to know how many small ones are being done or if some medium ones have gone through but haven't been PR'ed by an operating group, since they don't appear to have a uniform policy on that and they can hold things back for competitive reasons. I also probably don't catch all the ones that are announced. So the probability distribution is always pretty wide until it collapses when the Q comes out. Link to comment Share on other sites More sharing options...
Liberty Posted October 2, 2018 Author Share Posted October 2, 2018 Another new one at TSS in Europe: https://www.totalspecificsolutions.com/about-us/transaction-updates?tid=32 Total System Development (“TSD”), the supplier of software solutions for tree nurseries and landscaping, has joined Total Specific Solutions (“TSS”). With the acquisition of TSD, TSS now moves into the agricultural vertical. h/t @Pearnick again Link to comment Share on other sites More sharing options...
Liberty Posted October 2, 2018 Author Share Posted October 2, 2018 Just randomly stumbled on their Japanese website, no doubt part of the JV that they announced a couple years ago. It's actually fancier than their main website: http://www.csi-japan.co.jp/ Link to comment Share on other sites More sharing options...
Liberty Posted October 3, 2018 Author Share Posted October 3, 2018 Another one: https://markets.businessinsider.com/news/stocks/constellation-real-estate-group-acquires-baynet-world-inc-1027581705 Link to comment Share on other sites More sharing options...
Liberty Posted October 5, 2018 Author Share Posted October 5, 2018 That was quick. A new shareholder Q&A: http://www.csisoftware.com/wp-content/uploads/2018/10/QA-Oct-4-2018-Final.pdf Link to comment Share on other sites More sharing options...
Liberty Posted October 12, 2018 Author Share Posted October 12, 2018 Another new Q&A: http://www.csisoftware.com/wp-content/uploads/2018/10/QA-Oct-9-2018-Final.pdf Link to comment Share on other sites More sharing options...
Liberty Posted October 16, 2018 Author Share Posted October 16, 2018 Vela just disclosed 5 acquisitions (probably doing it at the end of the quarter for things that closed during the Q): http://velasoftwaregroup.com/vela-software-acquires-infocouncil/ http://velasoftwaregroup.com/vela-software-acquires-spectra-qest/ http://velasoftwaregroup.com/vela-software-acquires-epic-loan-systems/ http://velasoftwaregroup.com/vela-software-acquires-cross-advertising/ http://velasoftwaregroup.com/vela-software-acquires-nems-as/ Via Link to comment Share on other sites More sharing options...
SlowAppreciation Posted October 17, 2018 Share Posted October 17, 2018 I think I finally beat Liberty https://www.jonassoftware.com/About_Us/Latest_News/Jonas_Software_Announces_the_Acquisition_of_Greyco Link to comment Share on other sites More sharing options...
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