Q: Hi Peter,
Can I get you to compare Chapters Group AG to Pinetree Capital. Both are small cap holding companies. Do you see a lot of similarities between the two and would they be comparable. Both have had good runs.
I appreciate your views.
Thanks
Can I get you to compare Chapters Group AG to Pinetree Capital. Both are small cap holding companies. Do you see a lot of similarities between the two and would they be comparable. Both have had good runs.
I appreciate your views.
Thanks
5i Research Answer:
Keep in mind we do not cover German companies. CHG is €550M market cap, PNP is significantly smaller. It trades at 66X earnings. They have similar goals, i.e., investing in smaller companies in a holding company type of structure. EPS at CHG is expected to double in 2025. But it has multiple years of annual losses as its earnings depend on deals/monetization. The balance sheet is decent and it just raised more money (€85M). It has some very solid backers, including the founder of Spotify. Recent PNP comments are here.
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