PDD (Pingduoduo) is a genius cash-creating monster. Even when it made a loss of 1 billion in 2020, it generated a 4.5 billion positive operating cash flow. After that, it started making profits, creating even more cash flow. PDD operates…
The department store industry is hit hard by COVID and e-commerce, becoming less profitable. But only Dillard’s achieved a fat profit margin, and its stock price became insanely 15 times higher since April 2020. Why? The net income rate (net…
You know the fast-fashion retail. Zara is the king of low inventory possession. Their inventory turnover is a staggering 12 times per year, meaning they sell out all their inventory in just one month on average. That is an insane…
Victoria’s Secret is dying. The operating income dropped more than 80% from 2015 to 2023. And the margins keep dropping. The former owner of Victoria’s Secret sold the company in 2020 because he thought he couldn’t handle it anymore. This…
Businesses that focus on a niche can set higher prices and achieve better profit margins. Today, we’ll examine a perfect example of this strategy and learn how it’s done. Lululemon’s business is very successful. You can see this very well…
Selling diet energy drinks and gaining momentum, Celsius saw its sales skyrocket from $130 million in 2020 to a staggering $1.3 billion in 2023 – a tenfold increase in just three years. However, the road to this $20 billion empire…
elf is a cosmetics maker in the US. It sells high-quality cosmetics (no animal cruelty 100% vegan) at a very cheap price that no other company can match. Many product’s prices are more than 70% cheaper than competitors’ products. Who…
This time Nvidia, finally. I know you say, Nvidia has leaped because of the AI trend, and the stock price went to the sky. So what? This company is so big, nothing applies to our company? Since its IPO on…
Ever wonder why loss-making “loser” companies are sometimes valued very high? You might think stock investors are crazy, that it’s just not fair? Today, I want to explain why some loss-making companies are actually great businesses. Let me give you…
Alibaba is as you know, like Amazon in China. It was hit hard by the Chinese gov, because of the tech crackdown and because the former CEO Jack Ma too stood out and criticized the government. So the sales stagnate,…