Is Adyen still a Buy? This article is structured in the following way: Introduction to Adyen and the Payment Processing Industry Adyen’s past performance A full overview of the Adyen Investor Day Adyen’s destination analysis and DNA Conclusion Further reading
Oh wow another excellent write-up (I am catching up :-). As an incorrigible value investor, I couldn't resist loading up the truck at 600s beacuse the trade-off seemed skewed too much to the upside at that point. However, I like Adyen now much less at ~ 1200s than I did in 600s, a gut feeling that your superb analysis provides some good foundation for. Holding something that's priced to perfection is not my investment style, but then again selling a company with a fortress balance sheet, a long runway of double-digit growth, 50%+ EBITDA margins and so on just somehow feels wrong, too. So I am torn. I think I'll go against my Ben Grahamesque instincts for now and hold on, and let it be a lesson, just don't know which one yet!
I actually trimmed 1/3 of my position at EUR 1,200, took some quick profits off the table. Promised to myself to hold the remaining 2/3 at least for 5 years though!
I'll provide an update in my annual review in 2 weeks on Adyen. I'm currently on the side: If it keeps growing revenue and margins stay stable, then I'm willing to hold for 5 years or longer. I also got in between 6 and 700. My biggest 'mistakes' in the past have been to sell too soon. So I try to hold on as long as possible, even if it seems overvalued.
Oh wow another excellent write-up (I am catching up :-). As an incorrigible value investor, I couldn't resist loading up the truck at 600s beacuse the trade-off seemed skewed too much to the upside at that point. However, I like Adyen now much less at ~ 1200s than I did in 600s, a gut feeling that your superb analysis provides some good foundation for. Holding something that's priced to perfection is not my investment style, but then again selling a company with a fortress balance sheet, a long runway of double-digit growth, 50%+ EBITDA margins and so on just somehow feels wrong, too. So I am torn. I think I'll go against my Ben Grahamesque instincts for now and hold on, and let it be a lesson, just don't know which one yet!
Nice holding on as the price increased to +1400 today! But these are short-term movements. We'll see where Adyen will be in 5 years
I actually trimmed 1/3 of my position at EUR 1,200, took some quick profits off the table. Promised to myself to hold the remaining 2/3 at least for 5 years though!
I'll provide an update in my annual review in 2 weeks on Adyen. I'm currently on the side: If it keeps growing revenue and margins stay stable, then I'm willing to hold for 5 years or longer. I also got in between 6 and 700. My biggest 'mistakes' in the past have been to sell too soon. So I try to hold on as long as possible, even if it seems overvalued.