In this episode of Yet Another Value Podcast, host Andrew Walker welcomes back Cliff Sosin of CAS Investment Partners for his second appearance. Known for his concentrated, long-term investing approach, Cliff discusses the unique characteristics of Carvana's lending model, the intricacies of subprime finance, and why he believes Carvana's comeback story deserves a closer look. The conversation explores Cliff's investment philosophy, alternative data use, and risk management, while diving deep into market misconceptions around subprime lending, inventory valuation, and self-driving cars. Tune in for a data-rich breakdown of one of the market's most discussed turnarounds.

Links:

YAVP with Aaron Chan on CVNA: https://www.yetanothervalueblog.com/p/recurve-capitals-aaron-chan-on-the

CAS Investment Partners - ⁠https://www.casinvestmentpartners.com/⁠

Yet Another Value Blog - ⁠https://www.yetanothervalueblog.com⁠

See our legal disclaimer here: ⁠https://www.yetanothervalueblog.com/p/legal-and-disclaimer⁠

_______________________________________________________

[00:00] Intro to the podcast and guest, Cliff Sosin

[01:38] Cliff on his podcast return

[00:02:11] Cliff reflects on past public exposure

[00:05:26] Cliff’s focus in subprime and securitizations

[00:12:17] Carvana’s lending model and performance vs peers

[00:24:29] Alt data, trading signals, and Carvana

[00:30:58] Evolution of Carvana’s operational resilience

[00:34:03] What keeps Cliff up at night about Carvana

[00:38:11] Risks from used car market decline

[00:40:08] Potential disruption from low-cost EVs

[00:47:00] Threat of autonomous vehicles

[01:01:50] Stanford, Google, and Carvana

[01:10:10] Tail Risks

[01:13:00] Getting better with expert networks

[01:18:00] My trite Cliff saying

[01:19:00] What is Cliff researching now

In this episode of the Yet Another Value Podcast FinTwit Book Club, Andrew Walker is joined by Byrne Hobart of The Diff to discuss Clashing Over Commerce, a sweeping political and economic history of U.S. trade policy. Against the backdrop of current debates on tariffs, they explore how deeply tariffs shaped American politics, the surprising economic nuance found in 19th-century policy, and the recurring tensions between protectionism and free trade. From supply chain shifts to presidential power dynamics, they unpack what history might tell us about today’s trade decisions—and what it doesn’t.

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Chapters

[00:00:00] Introduction to the episode and the featured book, Clashing Over Commerce

[00:03:33] Byrne Hobart on why reading the book made him feel better about modern tariffs

[00:07:08] The role of modern supply chains in shaping today’s trade complexity

[00:10:52] Reflections on historical perspectives: agrarian vs. industrial interests

[00:14:41] How lobbying and special interests shaped tariff legislation

[00:19:30] The political economy of tariffs from the Civil War to the Gilded Age

[00:25:22] Evolution of U.S. revenue sources and tariff enforcement mechanisms

[00:30:48] Historical voting patterns and their echoes in recent trade policy

[00:35:19] Shift of tariff authority from Congress to the executive branch

[00:40:51] Modern-day political identity vs. regional trade interests

[00:45:37] How tariffs function as economic handouts or job guarantees

[00:50:44] Presidential comparisons and the rhetorical lineage of tariff advocacy

[00:55:28] Historical trade-offs in trade deals: from Britain to banana imports

[01:00:16] The legacy of statehood as a political tool for tariff influence

[01:03:33] Critiques of the book: length, editing, and lack of a strong conclusion

[01:08:49] Final thoughts on the enduring impact of tariffs on U.S. political systems

Links:

Alphasense activism webinar: https://go.alpha-sense.com/wb-imp-genai-fs-yavp-inside-boardroom/?utm_source=pt_YAVP&utm_medium=sponsored&utm_campaign=WB_DG_04-21-25_IMP-GENAI_FS_Yavp-Inside-Boardroom

The Diff Newsletter - https://www.thediff.co/

Yet Another Value Blog - https://www.yetanothervalueblog.com

See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

In this episode of Yet Another Value Podcast, host Andrew Walker shares a webinar conversation with Thomas Li, CEO and co-founder of Daloopa, diving into how AI is transforming the workflows of fundamental investors. They explore real-world applications across hedge funds and investment banks, highlighting both the promise and current limitations of large language models in financial analysis. From note synthesis to risk modeling and center book evaluations, Thomas outlines the practical realities of AI implementation, discusses adoption across firm sizes, and explains how contextual data—not just algorithm quality—is becoming the differentiator. Whether you're a solo analyst or part of a multi-manager platform, this episode offers a grounded perspective on where AI in finance is heading.____________________________________________________________[00:00:00] Andrew introduces the episode as a repost of a webinar with Daloopa on AI and investing.[00:01:58] Thomas Li outlines AI’s strength in generating language vs. processing structured financial data.[00:06:43] Discussion on practical AI use cases like cross-referencing notes with earnings calls.[00:10:12] Andrew asks how to structure analyst notes for better AI input and efficiency.[00:12:38] Comparing large pod shops and long-only firms in terms of AI adoption and internal tools.[00:17:34] Why foundational models are commoditized and context is key to AI application value.[00:22:18] The crowding factor as a risk vector and how pod shops hedge against it.[00:29:01] Generating alpha today: human edge through timing, perception, and behavioral insight.[00:35:07] Long-term value of internal data and modeling analyst performance over time.[00:41:49] How AI might evolve: foundational models vs. application layer as the value driver.[00:46:22] Adoption outlook—AI use is growing, but nuanced finance problems slow full automation.[00:52:14] Importance of internal champions (agency) to drive meaningful AI integration.[00:57:30] Center books at pod shops use AI to backtest and analyze analyst effectiveness.[01:02:40] Closing thoughts on AI’s trajectory and data as the real moat for firms.Links:Daloopa: https://daloopa.com/yavp See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

In this month’s episode of Yet Another Value Podcast, host Andrew Walker goes solo with his April Ramble, recorded just before a whirlwind travel schedule kicks off. He opens with an update on KROS, a position he's long, discussing the company’s surprising move to evaluate strategic alternatives and what it reveals about investor skepticism in the busted biotech space. Andrew continues with a candidcritique of the biotech sector’s structural inefficiencies, urging investors to push harder on corporate governance rather than avoid the "activist" label. From there, he explores how stock-based compensation can become more damaging when share prices fall and reflects on the mental and strategic discipline needed in volatile markets. He closes with thoughts on AI's evolving role in investment research and the importance of continuously improving one’s toolkit.

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[00:00:00] Marketvolatility and initial thoughts on KROS

[00:02:11] KROSstrategic alternatives announcement and investor response

[00:03:25] Marketskepticism despite positive news at KROS

[00:04:38]Encouraging shareholder engagement during the KROS review period

[00:05:09]Ongoing biotech investments and calls for rationalization

[00:06:25]Hesitancy from institutional investors to go activist

[00:08:02]Challenges in pursuing activism and protecting future deal access

[00:08:54] Thebroken incentives in biotech’s current market environment

[00:10:22]Thoughts on stock-based compensation and company dilution

[00:12:48] Howdeclining stock prices magnify dilution effects

[00:14:06]April's turbulent market dynamics and investor behavior

[00:15:13]Importance of maintaining process and staying focused

[00:16:39]Evaluating portfolio risk/reward in volatile markets

[00:17:23]Spotting opportunities through environmental changes like tariffs

[00:20:06] Theimportance of staying in research mode during swings

[00:21:17]Shifting focus to long-term projects when markets are too noisy

[00:22:49]Leveraging AI for research efficiency and insights

[00:24:41] Finalthoughts on adopting AI and its growing importance in investing

[00:25:53]Preview of Andrew’s upcoming vacation and travel plans

[00:26:27]Closing remarks and looking ahead to next month

Links:

See our legaldisclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

In this episode of Yet Another Value Podcast, host Andrew Walker returns for a solo discussion on Keros Therapeutics (KROS), a biotech firm navigating a dramatic fall from grace. Once buoyed by hopes for its leading drug Cybo (KER-012), KROS is now reeling from halted trials and a steep drop in share price. Andrew lays out the case for why this company, despite setbacks, may still hold considerable value. He explores KROS's licensing deal with Takeda, their significant cash reserves, and questions surrounding its future direction. Calling on shareholder alignment and corporate governance, Andrew challenges listeners to consider whether KROS is veering into zombie biotech territory—or poised for a smart pivot.Stat+ article on zombie biotechs and Sutro: https://www.statnews.com/2025/03/19/sutro-bio-biotech-luvelta/Chapters:[00:00:00] Sponsor and Intro[00:03:00] Recap of Sage Pharmaceuticals as a case study in shareholder value.[00:04:48] Introduction to KROS and its recent setbacks, including Cybo’s trial halt.[00:05:05] Defining the “zombie biotech” phenomenon and why it matters.[00:08:21] Misaligned incentives between management and shareholders in troubled biotechs.[00:10:04] Why KROS’s partnership with Takeda could be its most valuable asset.[00:13:14] Review of KROS’s three main drugs: Cybo, 065, and 050 (licensed to Takeda).[00:14:55] Risk-adjusted value potential of KROS’s royalties from Takeda deal.[00:17:01] Mixed data from 065 and skepticism from analysts.[00:18:09] Potential but doubtful value remaining in Cybo post-trial shutdown.[00:18:40] KROS’s massive cash balance vs. market cap and implications for shareholder returns.[00:20:05] Breakdown of 2023 overhead and burn rate concerns.[00:21:53] Call for drastic cost cuts and corporate reevaluation.[00:23:36] Analysis of board alignment and concern over lack of urgency.[00:25:44] Why KROS no longer needs a science-heavy board.[00:28:44] Shareholder engagement as a tool to prevent value destruction.[00:31:33] Encouragement for listeners to contact the board and advocate for value-maximizing outcomes.Links:See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

In this episode of Yet Another Value Podcast, host Andrew Walker welcomes back Marc Chalfin of Windward Capital to discuss Turtle Beach. Known for its gaming headsets and peripherals, Turtle Beach is at the center of a compelling capital allocation story. Marc outlines why the company’s recent PDP acquisition, aggressive buyback strategy, and positioning ahead of the Nintendo Switch refresh and GTA VI release create a rare opportunity. He also breaks down the company’s corporate turnaround, supply chain adjustments, and potential paths to a strategic or private equity exit. If you’re following gaming or capital discipline stories, this one's for you.______________________________________________________________________[00:01:29] Marc Chalfin shares an update on Groupon and transitions to Turtle Beach[00:02:23] Introduction to Turtle Beach’s business model and market share in gaming peripherals[00:03:58] Market size, product dominance, and recent analyst coverage[00:05:46] Chalfin discusses the history of Turtle Beach, Donerail’s involvement, and management changes[00:10:01] Operational struggles from supply chain issues and lack of gaming software[00:11:30] Strategic acquisition of PDP and importance of Nintendo licensing[00:13:03] Financial upside: EBITDA expansion potential, buybacks, and capital structure[00:16:38] Addressing the commoditization concern in gaming hardware[00:18:02] Peer comparisons with Logitech and Corsair[00:20:20] Philosophy on capital allocation and shrinking the share count[00:23:09] Tariff headwinds and Turtle Beach’s supply chain response[00:25:28] Catalysts: Nintendo Switch refresh and GTA VI as revenue drivers[00:27:34] Chalfin explains the buyback slowdown and loan covenants[00:29:53] Long-term guidance and thoughts on sustainable revenue growth[00:31:21] Endgame scenario: strategic sale or private equity exit[00:36:28] Risks: liquidity and execution on buybacks[00:40:11] Timing of potential buybacks and views on tender offer strategy[00:43:27] Closing thoughts on alignment with management and capital return strategyLinks:Windward Capital: https://www.windwardmg.com/See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

In this episode of Yet Another Value Podcast, host Andrew Walker welcomes back Adam Patinkin of David Capital for his third appearance—this time for a much-requested update on British homebuilder and regeneration specialist Vistry (RY). Adam originally laid out a bold thesis in early 2024 that Vistry’s transition to a pure-play partnerships business could mirror the NVR success story. But after a string of profit warnings and a collapsing share price, listeners wanted answers. Adam walks through what went wrong, why the company’s current valuation doesn’t match its fundamentals, and why David Capital doubled its position. The discussion probes management credibility, capital allocation, and how UK government policy is now aligning with Vistry’s strategy.______________________________________________________________________[00:00:00] Intro and sponsor message for upcoming AI & finance webinar [00:00:40] Andrew welcomes Adam Patinkin for a follow-up discussion on Vistry [00:01:29] Context and disclaimer before discussing UK-listed stock Vistry [00:02:18] Adam gives a quick overview and update on Vistry's journey in 2024 [00:02:58] Explanation of David Capital doubling their position in Vistry [00:03:59] The original investment thesis in Vistry: value plus catalyst approach [00:04:51] Breakdown of Vistry’s two segments: partnerships vs. housebuilding [00:06:58] Thesis: Transition to a pure-play partnerships business [00:08:34] Discussion on profit warnings and their impact on investor sentiment [00:10:13] Details of Vistry’s missteps and housebuilding write-downs [00:12:29] Analysis of the market's reaction to one-time losses [00:15:29] Third warning due to delayed land sales and management's response [00:16:34] Clarification of misunderstandings around ongoing losses [00:17:57] Adam frames the four-part thesis and which parts still hold [00:19:09] Reaffirmation of medium-term targets for partnerships [00:20:54] Discussion on pace of housebuilding exit and management's actions [00:23:34] Ongoing share buybacks and potential for expansion [00:24:37] Breakdown of customer segments in the partnerships business [00:26:19] UK government's budget and policy impact on affordable housing [00:31:14] Overview of supportive labor government housing initiatives [00:35:05] Cash flow expectations from capital employed reduction [00:36:29] Valuation commentary and mispricing opportunities [00:37:54] Assessment of credibility and investment upside [00:41:51] Discussion on net debt figures and transparency [00:43:40] Capital structure comparisons with other builders [00:46:21] Considerations around lower buybacks vs. future flexibility [00:49:10] Why Vistry still represents compelling value despite concerns [00:52:08] Differentiating Vistry from UK housebuilder peers [00:55:05] Clarification of the NAV not falling due to deferred land sales [00:57:21] Framing margin of safety by cash flows rather than asset base [00:59:54] Summary of company positioning, tailwinds, and outlook Links:Daloopa Webinar: daloopa.com/yavwebinarDavid Capital: https://davidpartners.com/See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

In this episode of Yet Another Value Podcast, host Andrew Walker welcomes back Mordechai, head of Focus Capital Advisers, for his third appearance. They unpack what Mordechai calls the greatest acquisition of all time—Valeura Energy's buyout of Gulf of Thailand oil assets. The two deals, acquired at rock-bottom prices, now generate more than their cost in monthly free cash flow. Mordechai explains theasset's unusual geology, the long-tail economics of its reserves, and why the market still doesn't get it. They also cover decommissioning liabilities, NAV versus market cap, and how management might pull off more high-conviction deals in the future.

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[00:01:14]Introduction to Mordechai and his advisory work

[00:03:18]Overview of Valeura Energy and its asset transformation

[00:04:38]Initial acquisition of the Wassana oil field from bankruptcy

[00:07:06]Financials and economics of the Wassana deal

[00:08:37]Comparison of Thailand offshore to domestic offshore assets

[00:12:15] Uniquereserve dynamics in the Gulf of Thailand

[00:17:08] Secondacquisition: Mubadala's Gulf assets and deal terms

[00:20:00] Whythe Mubadala acquisition defies logic

[00:24:14]Background on how Valeura got such a favorable deal

[00:27:02] Whydeals done during peak 2022 oil prices still look brilliant

[00:30:50] Whythe market hasn’t fully caught on to Valeura’s upside

[00:33:49]Variance between reported reserves and economic field life

[00:39:13] Datashowing reserve replacement outpaces depletion

[00:42:56]Concession expiration and risks around renewal

[00:46:56] NAVanalysis and investor skepticism

[00:50:26]Updates on decommissioning costs and projections

[00:51:50]Operational improvements and field efficiencies

[00:53:04]Organic growth through field development and platform expansion

[00:57:32]Upcoming catalysts and appraisal-based expansion opportunities

Links:

Focus CapitalAdvisors: https://focuscapitaladvisers.com/home

See our legaldisclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

In this episode of the Yet Another Value Podcast Monthly Book Club, host Andrew Walker is joined by Byrne Hobart, author of The Diff newsletter, to discuss Diary of a Very Bad Year: Confessions of an Anonymous Hedge Fund Manager. The conversation explores the book’s candid insights from a hedge fund manager navigating the 2008 financial crisis. Andrew and Byrne dig into the accuracy of predictions made in real time, the psychology of uncertainty, and the relevance of past financial mistakes to today’s AI boom and private credit landscape. This is a thoughtful discussion on expertise, misallocation, and financial memory—both personal and systemic.This month's book on amazon: https://amzn.to/4hUNk8sChapters:[0:00] Introduction + Episode sponsor: AlphaSense[2:00] Overview of Diary of a Very Bad Year: Confessions of an Anonymous Hedge Fund Manager[12:00] Bubbles through a misallocation of resources lens[22:35] History rhymes / Predictions in the book[35:45] Tariffs today versus housing in 2005[45:00] Misallocation of resources if AI is a bubble[56:00] Druckenmiller's Argentinean betToday's sponsor: AlphaSense; Try it free today at alpha-sense.com/YAVPThis episode is brought to you by AlphaSense—the market intelligence platform I rely on for faster, deeper insight.If you’ve used platforms like Tegus, you’ll feel right at home—but AlphaSense takes it further. With over 150,000 expert call transcripts and 450 million+ premium documents, it’s become my go-to resource for both qualitative and competitive research.And now, with Generative AI tools like Gen Search and Gen Grid, AlphaSense makes it easier than ever to accelerate your workflow. Gen Search lets you ask natural-language questions—like “What’s driving margin pressure in semis?”—and instantly surfaces answers pulled from expert calls, earnings transcripts, filings, and more.Gen Grid takes it a step further—automating repeatable workflows by applying multiple prompts across dozens of documents at once. It delivers clean, table-format answers like sales trends, macro commentary, or pricing signals—all with clickable citations so you can trace insights directly to the source.Whether you’re digging into a company, comparing peers, or parsing 10-Ks at scale, AlphaSense gives you a speed and depth advantage. Try it free today at alpha-sense.com/YAVP and experience the future of research.See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer

Adam Patinkin, CFA, Managing Partner at David Capital Partners, LLC, joins the podcast to discuss his thesis on Lifecore Biomedical, Inc. (NASDAQ: LFCR), a fully integrated contract development and manufacturing organization (“CDMO”).

For more information about David Capital Partners, please visit: https://davidpartners.com/

Chapters:

[0:00] Introduction + Episode sponsor: Fintool

[2:23] Who is David Capital and why $LFCR is interesting to Adam

[6:16] $LFCR history

[12:55] What is a CDMO (Contract Development and Manufacturing Organization) and how ingrained into the regulatory approval process they are; why these businesses are attractive

[21:47] What is Adam seeing with $LFCR that the market is missing

[24:00] $LFCR business

[30:16] Why this management team will change the trajectory of the company

[38:10] Capacity / concern about the speed to fill capacity

[46:45] Trump regulatory tailwinds / RFK headwind

[53:03] What has kept this company from achieving greatness / risk vs. reward with $LFCR

[1:02:33] Management team incentives

[1:04:41] Conversation about the math (valuation)

[1:10:08] Final thoughts

Today's sponsor: Fintool

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See our legal disclaimer here: https://www.yetanothervalueblog.com/p/legal-and-disclaimer