New Long: $ACVA
Resisting a name from the past.
I came across this name back in 2023/late 2022 after I shorted Carvana at $150s and made a video on YT about it that sort of went viral. What I got into, on accident, was discovering the auto-auction business and, thankfully, meeting a lot of great connections in the that industry.
This introduced me to ACVA 0.00%↑ and I met the CEO, George Chamoun, in Scottsdale at Used Car Week in the fall of 2024.
That’s when I began tracking the company and, at that time, the valuation was a bit rich but I was studying loan defaults and the pending subprime issue in that space and naturally ACVA 0.00%↑ was a net benefactor.
Plus, the guy started selling out his equity at that time and that’s just not something that I like to see (who does).
I took a small position then, just to pay attention, and got out because I just couldn’t get behind the valuation.
Today, that’s changed and I started a new long on it and have some thoughts to share with readers.
P.S.
I am going to bring on an industry expert next week on the Stock Market Call to talk about not only ACVA but CPRT and the tailwinds he’s seeing at ground level.
