Pershing Square Share Discussion Threads

[williamcooper104] 10/11/2021 09:44

TPOU is certainly a good comp

[shareman1111] 09/11/2021 22:49

That bodes well then! Hopefully ours reduces to ~15%

[williamcooper104] 09/11/2021 22:34

TPOU (the third point vehicle) was trading at similar discounts to PSH but since (irony of ironies) an activist shareholder tuned up its discount has narrowed and is now around 15 percent

[williamcooper104] 09/11/2021 22:12

There's two issues on the fees One on future fees; which is arguably worth it given past performance (and isn't more than you'd pay as a private LP, but without the liquidity) The other is on historic fees, the true NAV is the NAV inclusive of earned but not yet paid carry

[shareman1111] 09/11/2021 22:11

Great post bmel

I can see a US market rotation out of crazy high PE Tech into lower PE value plays like PSH own.

I’m also sure Bill will have plenty of irons in the fire and will pull the trigger at the right time with a new investment

[bmel] 09/11/2021 21:56

Some of the problems relate to Bill Ackmans previous ventures - a bit of 'mud sticks' DESPITE great performance in PSH. He may have made mistakes but he has sure learned from them.

Some people may steer away from it becasue of the (very complex) SPAC - but that has gone and we finished up with a chunky percentage of a fantastic music company (aka cash manchine).

The fees get mentioned, BUT the performance has to be delivered for them to be paid.

May also be like when you look at buying a house 'if it is that cheap there must be something wrong with it...' (sort of) logic.

It is a FTSE 100 company so loads of people must have looked at it.
Many have bought in - look at the price rise over the last 2 years - I guess others have not done the research and recognised the quality of the portfolio companies. They are all top quality, large consumer brands. Pretty much exactly where you would want to be in the post-covid re-opening.

I have been in this, with material amout of money, since Jan 2020 - and am up a very substantial amount. I am sticking with it because the NAV will grow (last sentence in para above) and I believe the excessive discount will gradually reduce. Might happen quite soon as the markets are looking at UK as being much too cheap and therefore much more attractive than they have been since the brexit thing.

Anyway those are my thoughts on PSH.

[rickyl1] 09/11/2021 21:43

Ackman's latest interview hinted at a new investment which is being funded partly by the bond issue. I don't have a link but it's in 3 parts on the AJ Bell YouTube channel.

[williamcooper104] 09/11/2021 20:31

Part of it could be down to the promote/carry fees payable to the GP Not sure if any accrued fees are reflected in the NAV Third Points listed LP vehicle also traded at a discount despite equally having an outstanding track recordBoth David Einhorns and Carl Icahns listed vehicles also have long traded at big discounts

[shareman1111] 09/11/2021 20:14

It’s very under the radar still, especially for a FTSE 100

[rachael777] 09/11/2021 20:02

I am resigned to the discount to nav never budging - what bemuses me is no one has ever explained why the discount to nav is at the level it is - for a ftse100 stock it is bizarre for such a "mispricing" to persist. You would think that a share buy back if instigated would close the gap ?

[shareman1111] 09/11/2021 19:07

I notice UMG is nearly 3% up today, does anyone know why it’s on the Amsterdam exchange and not a bigger one?

Bills recent ii & AJ Bell videos are very good, sharp & clear

I’ve moved a good % of my PF into PSH recently since hearing about it (thanks Donald Pond), I like the idea of Bill managing my money, especially if/when markets turn, the discount to NAV is crazy, surely it will narrow given time

[donald pond] 08/11/2021 09:27

It doesn't make any sense but we get a basket of very solid companies here which generally outperform the US market with low volatility plus the chance of some Billy magic now and then. And super liquid to boot.

[shareman1111] 08/11/2021 08:28

I’ve bought a few times recently, with Ackmans record and especially in tough markets this should be much closer to NAV !

[rickyl1] 02/11/2021 09:01

Hit £40 nav. You can buy those quality stocks at a little over £29 with a handy hedge in place against rate rises and with Bill and his team heavily invested alongside you. If that's not value I don't know what is.

[williamcooper104] 28/10/2021 21:59

Needs an activist shareholder :)

[captain stock] 28/10/2021 21:29

Crazy the £10 Nav discount. I will take a few more of these.

[rambutan2] 28/10/2021 15:14

Still £10 of free nav in the share price:

PSH NAV per share as of close of business on 26 October 2021 was 54.33 USD / 39.48 GBP and year-to-date performance was 20.2%.

[arja] 25/10/2021 14:19

inevitable profit taking after such a big daily rise but chart looks very good and NOR situation over 3010 .

[bmel] 25/10/2021 10:34

Even better if it holds £30 and does not evaporate this afternoon

[donald pond] 25/10/2021 10:14

Nice to see £30

[nimbo1] 25/10/2021 09:44

Its the discount on offer + the way he managed the pandemic and the track record of the last 3 years - a fantastic manager getting things right - investing alongside him for a 30% discount is so cheap in this market... so im not surprised to see some interest.

[rambutan2] 23/10/2021 21:51

Short interview with Bill Ackman on UMG, plus a few other interesting snippets:

[bmel] 22/10/2021 12:38

Someone has woken up to discounted value here. Last 2-3 days have seen a significant number of largeish buys. Volume this morning - 6k sells 52k buys.

[rambutan2] 21/10/2021 20:29

Another up week:

PSH NAV per share as of close of business on 19 October 2021 was 53.96 USD / 39.12 GBP and year-to-date performance was 19.3%.