BWS Financial Inc

BWS provides independent stock specific research focused on companies with distinct value that are going through a special situation where there is a tangible catalyst not priced in. The catalyst can be anything from new product, restructuring, M&A, management change, change in business strategy, etc. BWS’s focus is to understand the change and evaluate the potential return for investors.

BWS utilizes a self formed proprietary approach in discovering stocks by putting great emphasis on deep research. BWS does generate short recommendations following a similar criteria.

Independent Stock Specific Research

XPER: Multiple Shots on Goal, Upgrading to Top Pick

Founder, BWS Financial Inc

Hamed Khorsand

Founder

Equity Bottom-Up

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Xperi (XPER) managed its expenses in the third quarter while getting ready for broader deployment of its DTS AutoStage and DTS AutoSense solutions. The lower operating expenses resulted in XPER’s earnings exceeding our forecasts.</li></ul> <ul type="disc"><li>XPER’s high-margin business model can be hampered by higher spending, especially as the Company invests in splitting the business into two separate entities. The brakes on spending came during a period when XPER is not immune to the global supply chain bottlenecks.</li></ul> <ul type="disc"><li>In prior years the third quarter was seasonally a lower period for TiVo. COVID-19 might have played a role in hiding such seasonality in last year’s performance, and it was only compounded this year due to global supply chain bottlenecks.</li></ul> <ul type="disc"><li>XPER’s stock continues to discount the free cash flow capabilities of the business. XPER’s free cash flow should increase next year with the new announced design wins, which is also not depicted in the stock price trading below our target of $26.</li></ul>


Xperi (XPER) managed its expenses in the third quarter while getting ready for broader deployment of its DTS AutoStage and DTS AutoSense solutions. The lower operating expenses resulted in XPER’s earnings exceeding our forecasts. XPER’s high-margin business model can be hampered by higher spending, especially as the Company invests in splitting the business into two separate entities. The brakes on spending came during a period when XPER is not immune to the global supply chain bottlenecks. In prior years the third quarter was seasonally a lower period for TiVo. COVID-19 might have played a role in hiding such seasonality in last year’s performance, and it was only compounded this year due to global supply chain bottlenecks. XPER’s stock continues to discount the free cash flow capabilities of the business. XPER’s free cash flow should increase next year with the new announced design wins, which is also not depicted in the stock price trading below our target of $26.

Xperi

XPER: Expressing Free Cash Flow Growth