Investment Q&A

CSU and BYD are classic compounders, but each has been caught in its own set of issues. These are names that have great business models and balance sheets, but CSU has declined due to fears that AI will disrupt and take market share away from software businesses, and BYD released disappointing results recently, and falling sales growth is negatively impacting the stock. GLXY is a high-growth, high valuation name, which has been impacted by a sell-off in crypto prices, but also a risk-off trade as investors looked outside of tech and financials for safety. 

We like all three names, but each has its own reason for declining recently, and we feel if an investor has a long-term time horizon, these can eventually see strong rebounds. Right now, the market is favouring a small number of sectors and industries, but typically rotations take place in the market, and we think the pendulum will eventually swing back in favour of these names.