Bullpen.News From Edwin Dorsey
Get Daily Recap Feedback

Thursday, October 8, 2026

Back to today

Boyz in the Hood

Robinhood’s AI agents, 24/7 equity trading and 10:1 crypto perpetual futures encourage higher retail trading velocity, leverage and momentum.

HOOD $98B
WHAT ARE WE DOING? “Contrarians At The Gate”

From X

@convequity

Convequity on X

Private equity puts a floor under software valuations, and you can work out that floor with simple arithmetic. A private equity buyer takes the company private, removes unnecessary staff, lifts margins to 30%+ and keeps growth in the low teens. A company restructured that way should be worth at least 20x EV/EBIT. At a 33% EBIT margin, 20x EV/EBIT is about 6.7x EV/Sales. That gives a simple test for any software stock. If it trades well below that level, the market values the business at less than a buyer could get from it just by cutting costs. In our view, the market sees no differentiated future for that company. So why don't more of these companies get restructured? One reason is ownership. Dual-class share structures are common across large-cap and mid-cap tech, and they limit how much pressure private equity and activist investors can apply. That makes it hard for a company like $OKTA to accept legacy status and carry out a deep restructuring. We expect many SaaS companies to keep fighting slowing revenue with high operating expenses rather than restructure.
@stockgutter

SG on X

So many red flags with Chaince $CD. For example, - Chaince just increased its authorized share count 20-fold to 20 Billion!?! There is no reason whatsoever for a legitimate company with under $10m in revenue to have a share count like that. Think it will dilute? Me too. - Two months ago, Chaince did a registered direct offering at $0.53 per share. At the time the RDO price was about 1/6 its market price. Now Chaince shares fetch >20x that. This is not how normal companies, even microcaps, raise money.
@convequity

Convequity on X

$FTNT already has a fast-growing OT security business of more than $1bn. Robots will face the same security problems as factory machines. Factory equipment and IoT devices were designed for availability and safety. They shipped with weak or no security, and controls were added afterwards. Robots and humanoids are likely to follow the same pattern. Many will run custom or stripped-down operating systems, have tight CPU and power budgets, and sit under safety-certification rules that make heavyweight endpoint agents and frequent patches difficult. When security software is hard to install on the device, enforcement moves to the network: segment the environment, control which systems can talk to which, and inspect the traffic. That work needs a lot of switches inside the plant, in addition to a few firewalls at the perimeter. FortiSwitch is built to be price-competitive for cost-conscious industrial buyers, with security functions embedded and ASIC acceleration for always-on inspection. Endpoint vendors such as $CRWD can help protect higher-value machines, but their software has to run on the device itself, which is often hard on robots for the same reasons. As inference moves into factories, hospitals, warehouses and vehicles, every new AI-controlled actuator still sits on a network, often on the industrial backbones Fortinet already protects.

Investor Letters

All letters

Golar LNG q2’26 Operational Update

Golar LNG ordered a $2.45 billion fourth FLNG vessel, targeting 3.5MTPA of capacity and $400 million in annual EBITDA under a 20-year…

GLNG $4.9B
Monte Independent Investment Research

Top Rebound Stocks for Oct’26

Intuitive Surgical, down 32% from its January 2025 peak, faces slower US procedure growth and new robotic-surgery rivals despite $10.1…

ISRG $147B
Rebound Capital 1 click

Vertiv Holdings Co. (VRT)

Vertiv's 33% stock decline followed a 2026 forecast increase, despite a $15 billion backlog and rising AI data-center demand for power and…

VRT $94B
SixSigmaCapital: Navigating the Financial Markets

What I’ve Been Up To

Cogent Communications and AI data-center bottlenecks feature in a newsletter update on recruiting, financial media and conference takeaways.

CCOI $515M
Stock Thoughts 1 click
POST · long

Post Holdings INC

Post Holdings remains a large position after the stock's recent decline.

POST $3.3B
Value Investors Club

Research Roundup Vol. LV

OpenAI’s enterprise privacy push and Synopsys’s Factory 2 royalty model anchor a technology roundup, alongside oil above $100 and Bitcoin’s…

SNPS $97B
Monte Independent Investment Research

Publications we follow

Every publication on this site, hand-picked.

109 publications

Newsletters 92

YouTube 4

Blogs 12

Seeking Alpha 45 of 216

Nominate a publication

X accounts we follow

Every account on this site, hand-picked.

74 accounts
Nominate an account

Investor letters we follow

189 firms

Sectors

Ordered by how often our editor reaches for them.