WSM–Thanks for this. I really appreciate your contributions to this forum and you will see I gave you a shout-out in my recent monthly summary. A couple of questions:
- What made you decide to dump TTD? If the answer is valuation, what metrics are you using to determine that it’s too expensive?
- re: Celcius. I get very nervous about consumer brands that haven’t been around for a very long time. I mean Coke I’m okay with. Ferrari and Harley the same. Apple is a bit different, but maybe even more effective, because it has people trapped into their ecosystem. But with Celcius–how do you get comfortable with the idea that people will keep drinking their drinks? Maybe you will say “I’ll sell when their sales slow.” But that sudden slowness could be accompanied by a 50% plunge in the share price, no? If I buy the brand myself and feel it really is way better than the competition, it may be a different story. Chipotle (CMG) was an example of that. I had a huge stake at one point but sold pretty much everything ahead of the 2008 crisis and when the dust settled I wouldn’t get back in because I worried their basic concept was too easy to copy.