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Shengye's avatar
2dEdited

Hi I spent sometime reading your thesis on Solaredge. Sounds a solid picks. However, it feels like it’s a company that lacks strong moats. Particularly, strong competition with cheaper Chinese-made inverters in the European market (wonder if you have some insights on this particular risk)… Also, in the American market a main challenge has always been that Trump has personal disgust against solar and wind power…

The Few Bets That Matter's avatar

I am not someone who focuses on moat, I focus on narratives so you are right in that sense. It's just not what I do!

As for Trump, you are right but this is why solar stocks got demolished over the past years. The market digested the new situation now and what we see is a factual rebound of demand and revenues despite this new situation. So that's actually pretty bullish.

Shengye's avatar

Thanks for answering

Jamie Wagland's avatar

Going to have to wait for the retest of the $35 sadly. Hopefully bring patient pay. Well done for catching this! 👏🏼

The Few Bets That Matter's avatar

I'd assume volatility on those so even if it isn't $35, it could be higher with confirmations. Either way, if we are to see a rebound due to easier financing conditions, we're set for quarters of uptrend.

No rush!

Jamie Wagland's avatar

Do you think it’s still worth buying at today price? And if we still a little pull back, snapping up for? (I’ve had a few clients the past 6 months get solar in the UK btw)

The Few Bets That Matter's avatar

Risk reward grows with higher price. Depends on your appetite for risk.

I started writing the article ~$35 which was a great price imo. We're 20% higher today... I would not and would be patient for a retest or at least a red day, but that's me. Nothing say we'll have that retest nor that you have to do what I say ahah :). I just try not to chase too much.

If this one runs, there'll be more opportunities.

Jamie Wagland's avatar

Missed this retest ffs! 😭

The Few Bets That Matter's avatar

Ahah cmon!

It was a very fast one but you had time to prepare!

Jamie Wagland's avatar

forgot to set my buy orders. Sorry!

Jamie Wagland's avatar

Thanks mate! 🫱🏻‍🫲🏼