Confederate Colonel John Pemberton founded Coca-Cola in 1886. In 1919, he took it public. For the next fifty years, the stock compounded at 26%. Coca-Cola had become a cultural icon and analysts began to doubt whether it could continue growing. In 1938 Fortune Magazine wrote:
Good stuff. You may enjoy this podcast that I did about Constellation with MBI. We don't cover Topicus that much, but a lot of stuff applies to it since it's the same model and culture even after the partial spin:
Quick Q - where did you locate the number of acquisitions they do in a year? they don't seem to talk about that number in the Quarterly or annual reports. I think I once read Mark Leonard saying they don't like revealing that but your report has the number count. thanks!
Yes, you are right. I was way off on market cap. When I wrote 28x I thought it was much cheaper than I had pegged it at... should have known something was wrong. Thanks for reading and thanks for pointing out my error!
Good stuff. You may enjoy this podcast that I did about Constellation with MBI. We don't cover Topicus that much, but a lot of stuff applies to it since it's the same model and culture even after the partial spin:
https://www.libertyrpf.com/p/going-deep-on-constellation-software
Cheers 💚 🥃
Thanks Liberty, I look forward to listening!
Let me know what you think! We recorded a while ago, but the company's model is fairly stable so I don't think it's outdated..
Quick Q - where did you locate the number of acquisitions they do in a year? they don't seem to talk about that number in the Quarterly or annual reports. I think I once read Mark Leonard saying they don't like revealing that but your report has the number count. thanks!
I wrote this over 2 years ago so I’m hazy on the exact source. However it looks like I pulled the chart from this website: https://the10thman.substack.com/p/topicus-toi
thanks, iv read the 10th man posts before, not sure where he gets it from either .
Long term intrinsic value per share growth through roll ups. Welcome the baby CSU !
Did you want to say that the preferred shares convert on 2022?
Yes, I mean't 2022. That was a typo. Thanks for catching that, and thanks for reading!
Exactly. Matt has the market cap wrong. Corrected for that, you unfortunately have to double the valuation to 56x free cash flow.
Yes, you are right. I was way off on market cap. When I wrote 28x I thought it was much cheaper than I had pegged it at... should have known something was wrong. Thanks for reading and thanks for pointing out my error!