Week in Review -- July 10, 2020

The days are long and the weeks are… also long?

Let’s get into it.

New Positions:

$SNAP

I’ve been eyeing Snap for a few weeks now. (I’ve got a longer deep dive coming here next week.) H/T to @TurnerNovak for influencing a lot of my thinking. Big picture:

  • It’s a super sticky social media platform with growing DAU

  • A ton of room to grow in monetizing said user base

  • Founder/CEO Evan Spiegel is a visionary

  • The future is unknowable, but the product bets they are taking with camera and augmented reality look transformative

A bet on Snap feels like a VC bet. Visionary leader. Massive, growing, unknowable TAM. Sign me up.

Speaking of signing up (sorry!), sign up below to grab my in-depth review of Snap next week. Thanks!

$RDFN

I have less of a feel for Redfin, so this may end of being more of a trading name:

  • I love companies with strong lifetime value of a customer. This is not that. How often are people really buying a house?

  • But I love the moat they are building toward and two macro headwinds we’re working with:

    1. As currently constructed, a lot of people eat in the real estate value chain. This agent. That agent. This fee. That fee.

      Younger, price sensitive, more technologically aware buyers know this. There is a change coming. This change is SLOW. But coming. Redfin feels best positioned to disrupt a very old, stuffy way of doing business. +1

    2. COVID. People getting out of apartment city rentals and into owning houses in the burbs. This is a thing! +2

Portfolio Talk:

$LVGO

What a mover this guy is. Weekly return ⬇️

Whoa.

I first picked up shares in May @ $54.25. Then again in June at $57.42. And again at $59.77.

Unrealized gains are at **checks glasses** 86.87%. Whoa.

Obviously not sustainable, but a company I want to add to on every dip that’s coming.

On the chopping list might be $CRNC. I scooped some up on June 11th. Since then:

I’m not a short-term investor, so I don’t really care about short-term results. But something about this company is giving me pause.

When I bought it, here’s what I wrote:

A lot to like. The original thesis is unchanged.

But for such a small company, this revenue growth is not my favorite (spin-off numbers can sometimes be wacky, but this still doesn’t inspire a ton of confidence).

$CRNC is under close watch until further notice.

From Around the Internet:

As a former startup founder, this was too good not to share:

A lot more to come from here at Mazwood. Thanks for giving it a read and (if you liked it) giving it a share!