Daily Brief United States: Newmont Mining, Klarna Group, NVIDIA Corp, Dell Technologies , Air Lease Corp, Via Transportation, Seagate Technology Holdings PL, Vince Holding, Compass Diversified Holdings and more

• The VanEck Gold Miners ETF/USA (GDX US) will change benchmark from the NYSE Arca Gold Miners Index to the MarketVector Global Gold Miners Index at the close on 19 September.
• The differences in the constituents between the two indices should result in 8 adds and 25 deletes. Estimated one-way turnover is 22.9% resulting in a round-trip trade of US$10.2bn.
• The forecast adds have underperformed the forecast deletes since the last Insight that highlighted the big valuation gap that had opened up since the announcement of the benchmark switch.

• Klarna is getting ready to complete its IPO on the New York Stock Exchange.
• Klarna is offering 34.3 million shares at $35 to $37 per share. At the high end of the IPO price range, the company would be able to raise $1.27 billion.
• Our base case valuation is 5.4% lower than the low end of the IPO price range. Given the lack of upside, we have a Negative View of the Klarna IPO. 

• Nvidia’s performance in the industry show was okay, with the stock being slightly off and mixed reactions from analysts.
• The company is continuing to grow at a significant rate, but there are concerns about AI market trends and China relations.
• Questions surround Nvidia’s potential deal with China, with uncertainties about revenue sharing and government involvement.

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• Nvidia’s operating cash fell to $15.4B from $27.4B last quarter, even as net income climbed to $26.4B.
• Receivables jumped to $5.7B with Days Sales Outstanding at 54 days, while accrued liabilities flipped to a $4B drag.
• The balance sheet shows a company pushing more product out than cash is coming in; the predicament arising from Nvidia’s revenue booking model.

Key points (machine generated)

• Dell’s ISG recorded $38.4 billion in FY2023 but faced a 12% revenue decline to $33.9 billion in FY2024 due to macroeconomic challenges.
• In FY2025, ISG rebounded with a 29% revenue increase to $43.6 billion, fueled by demand for AI-optimized servers and storage solutions.
• ISG is integral to Dell’s AI infrastructure strategy, collaborating with partners like NVIDIA and Nokia to enhance AI offerings and maintain low-teens operating margins.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

Key points (machine generated)

• Air Lease is trading at 0.9 times its book value and is expected to double its earnings in three years.
• Factors contributing to earnings growth include new aircraft deliveries, increased yields from extended leases, and the end of lower-rate COVID-era leases.
• A potential stock buyback announcement is anticipated due to the company’s excess capital position.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Via Transportation will offer 10.7 million shares at $40-$44 and is scheduled to debut on Friday, September 12th.
• Wellington Management has indicated an interest in purchasing up to $100 million in shares of Class A common stock in this offering.
• With a large addressable market and solid revenue numbers, the company is positioned nicely for growth in the future. 

• We remain bullish since our 4/22/25 Compass, and we will maintain our bullish outlook as long as market dynamics remain healthy and the S&P 500 (SPX) is above 6028-6059.
• Shorter-Term, the SPX violated its 3.5-month uptrend yesterday, but managed to rally back to the breakdown level by yesterday’s close. 
• We would not yet call this a decisive breakdown, and we are on the lookout for a potential reclaim back above this uptrend at the 6425-3430 level. Or consolidation?

• We are reiterating our Buy rating, projections and $4 price target for Vince Holding with the company announcing 2QFY25 (July) results after the close on Wednesday.
• We believe the company has continued to offer compelling styles in both the wholesale and retail channels, even in the face of higher tariffs, which have somewhat altered the product flows for the Spring/Pre-Fall collections.
• Further, we expect the impact of higher tariffs, which did not coincide with material price increases in 2Q, to be the largest negative this quarter, with the bottom line impact increasingly offset going forward from price and sourcing shifts.

Key points (machine generated)

• CODI’s portfolio includes strong performers like BOA and Marucci, but Lugano’s unexpected financial misstatements led to a 60% drop in equity.
• The preferred securities B and C are now appealing, offering yields of 13-14% at about 60% of face value, with a significant equity cushion.
• The Lugano incident raises concerns about potential implications for other members of CODI’s externally managed team.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.