Alex Behring and Daniel Schwartz - Inside 3G Capital - [Invest Like the Best, EP.458] – Invest Like the Best with Patrick O'Shaughnessy

Alex Behring and Daniel Schwartz - Inside 3G Capital - [Invest Like the Best, EP.458] – Invest Like the Best with Patrick O'Shaughnessy — Transcript

Market views

Bullish

HUNTERDOUGLAS— Hunter Douglas has strong competitive moats with scaled manufacturing, custom products, and owns customer relationships directly. TAM is $70B with HD as the clear market leader.
SKECHERS— Skechers is the third-largest sneaker company globally with 9B in sales, growing double-digits consistently, with strong distribution and product innovation. The brand is bigger than most realize.
FRANCHISE— Franchise business models are highly capital-efficient with entrepreneurs globally investing their capital to grow the brand while generating royalty-based recurring revenue.
FOOTWEAR— Athletic footwear industry growing 7% annually driven by casualization and athleisure trends with limited private label risk.

Bearish

CPG— Consumer packaged goods companies face structural headwinds from private label growth and customer concentration risk with major retailers who can disintermediate them.

Not investment advice.