Bullpen.News From Edwin Dorsey
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Friday, October 9, 2026

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You Understand Now, Why You Came This Way

Brazil’s October 25 runoff puts Bolsonaro’s likely victory at the center of a bullish regional-stock case; Golar LNG (GLNG) also reports fresh news.

GLNG $4.9B
WHAT ARE WE DOING? “Contrarians At The Gate” 3 clicks

From X

@StableBread 5 clicks

Fajasy on X

The S&P 500 lost 18% in 2022, and the Bloomberg U.S. Aggregate, the main U.S. bond index, lost 13%, its worst year since it began in 1976. Over the same year, $XLE, the S&P 500 energy sector ETF, returned 64%, gold was flat, and cash earned ~1.5%. Now what if I told you there's a framework that would've said to own cash and energy in 2022, not stocks and bonds? That framework is called Gave's Four Quadrants, after Charles Gave, co-founder of Gavekal, a macro research firm. It uses two ratios built from market prices, the S&P 500 vs. Oil and Gold vs. Treasuries, to place the economy in one of four environments, and it describes what to own and what to avoid in each. Here's how stocks, bonds, gold, and cash tend to perform in each environment: → Deflationary boom: Stocks, bonds, and cash rise, and gold underperforms. → Inflationary boom: Stocks and gold rise, cash does very little, and bonds fall. → Deflationary bust: Bonds and cash rise, gold stays fairly stable, and stocks fall. → Inflationary bust: Gold and cash rise, while stocks and bonds fall. In my backtest of Gave's rules from 1970 to September 2026, a portfolio split equally between cash, the S&P 500, and either 10-year Treasuries or gold, whichever the framework favored, would have returned 5.7% per year after inflation. Its max drawdown was 28%, vs. 54% for the S&P 500. As of the end of September 2026, the two ratios place the U.S. in an inflationary boom phase. But since January 2025, the S&P 500 to gold ratio has been below its 7-year average, which has often come a few months before the S&P 500 to oil ratio drops below its own 7-year average. If that happens, the U.S. is back in an inflationary bust phase, like 2022. So how do you read the two ratios yourself, and what do they say to own today? That's what I walk through in my new ~20-minute video!
@StableBread

Fajasy on X

The Navy plans to buy more ships, and BWX Technologies $BWXT doesn’t charge a set price per reactor. $BWXT makes the fuel, reactor cores, steam generators, and other reactor components for the Navy’s Virginia- and Columbia-class submarines and Ford-class carriers. $BWXT now produces two to three of these reactors/year, Joe Miller, president of Government Operations, said at its Investor Day on September 29, 2026. The Navy buys under multi-year pricing agreements, so orders arrive in large blocks: → February 2025: $2.1B of naval reactor component contracts. → July 2025: $2.6B, including options. → May 2026: $1.45B, mostly long-lead material (parts ordered years before a ship is built) under the first of five annual task orders through 2030. → October 2026: $189M of naval fuel, to be completed by August 2027. $BWXT’s plants carry large fixed costs, so final pricing depends on how many ship sets (all the reactor components for one ship) the Navy orders, CFO Mike Fitzgerald said at Investor Day. The Navy’s 30-year shipbuilding plan, released in May, calls for (1) “buying two attack boats per year for the next 30 years,” meaning Virginia-class submarines, (2) a new carrier every four years instead of every five, and (3) 15 nuclear-powered Trump-class battleships, per USNI News, the U.S. Naval Institute’s news service. $BWXT’s own read of the plan is naval growth of 4-6%/year from the existing ship classes. Each Ford-class ship set takes ~8 years to deliver, so ordering a carrier every five years left gap years with one ship set in $BWXT’s plants instead of two. CEO Rex Geveden said on the Q2 call that the four-year cadence takes out “that revenue bathtub that we’ve been going through” and has “a bigger volume impact than even adding a battleship.” The next carrier’s long-lead orders come in 2028, but Fitzgerald said at Investor Day the faster cadence won’t really show up in $BWXT’s numbers until around 2030. A Trump-class battleship would use one Ford-class reactor (a carrier uses two), so $BWXT could build the reactor on its existing lines, but Congress still has to fund the program. Fitzgerald said $BWXT’s 2030 targets exclude the battleship program, so congressional funding would be extra growth.

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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…

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

Ncino INC

NCino is a commercial-lending system of record for banks and credit unions, trading at roughly 3x enterprise value to sales.

NCNO $2.1B
Value Investors Club 3 clicks

SAP: DCF Valuation

SAP’s DCF valuation sets a $260 base-case target versus a $155.09 ADR price, based on cloud migration, AI efficiencies and expanding EBIT…

SAP $245B
Hated Moats

Duffy’s Last Dance

CME CEO Terry Duffy moves to executive chairman while suing the CFTC over Kalshi’s approval to list perpetual futures, defending CME’s…

CME $101B
Net Interest

New Buy : Zoetis 🐕

Zoetis trades near 10x EV/EBIT after its selloff, with animal-health leadership, a $9.5 billion revenue base and companion-animal demand…

ZTS $30B
D Invests

Adobe Business History

Adobe built PostScript, Photoshop and PDF into desktop-publishing standards, using free Acrobat Reader and integrated Creative Suite tools…

ADBE $93B
Speedwell Memos 1 click

Deep Dive: XPEL

XPEL sells paint-protection film and DAP cutting software, using 90,000-plus vehicle templates to win share from 3M and Eastman.

XPEL $1.2B
Rebound Capital 1 click

Cerebras June 2026 Earnings

Cerebras faces shareholder criticism over $700,000 to $850,000 WSE-3 rack pricing, alleged packaging-yield losses and SRAM-based KV-cache…

CBRS $39B
Irrational Analysis

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