LauriPatterson/E+ via Getty Images As a rather unsophisticated investor, my primary goal is not necessarily to achieve outsized returns and outsmart the markets in absolute terms, as science is pretty clear on the fact that outperformance is unlikely A) consistently B) without insider knowledge, or C) without luck. As such, my portfolio aims at achieving an above-average Sharpe Ratio by capturing ...
LauriPatterson/E+ via Getty Images As a rather unsophisticated investor, my primary goal is not necessarily to achieve outsized returns and outsmart the markets in absolute terms, as science is pretty clear on the fact that outperformance is unlikely A) consistently B) without insider knowledge, or C) without luck. As such, my portfolio aims at achieving an above-average Sharpe Ratio by capturing market-average returns over the long run while carrying significant below-average volatility. I achieve this with a stock-only approach by combining “boring” old-economy with high-growth tech titles, and buying both somewhat countercyclically, i.e. into relative weaknesses. Notably, stock selection comes on top of that, as we will see in a second. But what has this got to do with Domino’s Pizza? Over the last month or so, tech has come under pressure, which led to a rotation of capital into “bubble-proof” consumer staples, lots of which I was bullish on in the recent year(s), and "good old" restaurant chains seem to have worked out as havens as well at first glance, don’t they? McDonald’s is up 8% in a month while the Nasdaq-100 is down 5%, equating to a 13% 1-month outperformance. Nevertheless, a look under the hood reveals that stock selection won in this case. Domino’s Pizza, for example, was down 8% during the same time, seeing an even more pronounced drop as the “tech-index.” Peers and QQQM performance (Seeking Alpha) So, why is it that Domino’s Pizza could not at all profit from the market rotation? During my last DPZ coverage , I highlighted the company’s slightly elevated valuation relative to peers as well as its asset-light and debt-heavy balance sheet [BS]. While the former has now become less demanding thanks to the continued strong income and cash flow statements [IS & CFS] and the fallen share price, DPZ’s asset-light approach does not allow for huge earnings swings from operating leverage – low risk, low reward on that end. Compare that to McDonald’s real est...
The Guardian’s community affairs correspondent, Chris Osuh , reports on the plot by two IS terrorists to massacre Jews in Manchester, and how it was thwarted by an undercover sting Walid Saadaoui had once worked as a holiday entertainer, organising dance shows and quizzes at a resort in his native Tunisia. After moving to the UK and marrying a British woman, he became a restaurateur and an avid ke...
The Guardian’s community affairs correspondent, Chris Osuh , reports on the plot by two IS terrorists to massacre Jews in Manchester, and how it was thwarted by an undercover sting Walid Saadaoui had once worked as a holiday entertainer, organising dance shows and quizzes at a resort in his native Tunisia. After moving to the UK and marrying a British woman, he became a restaurateur and an avid keeper of birds. All the while, however – as the Guardian’s community affairs correspondent, Chris Osuh , explains – he was hiding a secret: he had pledged allegiance to Islamic State. Continue reading...
Bonilla1879/iStock Editorial via Getty Images I’m an Uber Bull, For Now I Believe DoorDash Is Better I had a bit of an epiphany this week, watching Uber Technologies ( UBER ) break under 70 again. I was disappointed that the stock could not hold the upper 70s at least. Don’t get me wrong, I understand that UBER is under the same pressure as every other tech and tech-adjacent category of stocks, ei...
Bonilla1879/iStock Editorial via Getty Images I’m an Uber Bull, For Now I Believe DoorDash Is Better I had a bit of an epiphany this week, watching Uber Technologies ( UBER ) break under 70 again. I was disappointed that the stock could not hold the upper 70s at least. Don’t get me wrong, I understand that UBER is under the same pressure as every other tech and tech-adjacent category of stocks, either that might be overtaken by Gen AI directly, or reduced subscription fees, or some new start-up challenger will come along and build a super cheap replacement using “Vibe-Coding.” I am sticking with UBER because it is the premier platform for ride-hailing. People will still need the super convenient App and Platform for travel. Uber is investing in self-driving tech right now, and many, if not all, of the Robotaxi fleets that pop up will have an easier time getting fares using the Uber App as their storefront. I am staying in UBER for the long haul. As I was saying this week, while my discomfort over UBER was still fresh, I was scanning through my stock lists when my eye rested upon the DoorDash ( DASH ) symbol. I have been an admirer of the founder of DASH since I watched a video interview of him about a year ago. DASH was now trading at 175! I distinctly remembered DASH being over 250, which wouldn’t deter me, but I don’t like buying a stock at the 52-WH. At this time, while thinking it over, DASH fell to about 170 and had broken that support level. Causing me to hesitate a bit more. The stock landed on 160, which matches the level it fell to reach the April 2025 – “Liberation Day” chaos. I started a position at 160, realising that I made this decision purely on price action and charting, I realized that I had some work to do. Serendipity started me on the road of comparing UBER to DASH. Both seem to be competing strongly with each other. This is something that might be quite obvious, but I have considered the UBER app for ride-hailing, and DASH is for food delivery. ...