Quality biz with inflecting margins

US-listed, quality, and dirt cheap on a 2-3 year view

Hello, Ultimate Value readers!

I am back with a new idea today. Here are some of the takeaways:

• The stock is US-listed, with a USD ~800m market cap and an EV of ~400m.

• Liquidity (ADTV) is solid at USD 3m per day.

• This is a high-quality business: low churn, growing, high margin, low capital intensity, etc.

• Margins are set to inflect over the next two years, with an approximate 1,000bps (10 pt) improvement. This would imply that the stock would trade at 7x EBITDA on 2026 numbers and ~5x on 2027.

At a 15x EBITDA multiple, the stock could have a 60% upside over the next 12 months and a 100% upside over the next 24 months.

Let’s take a look.