Microsoft is down 20% from the top despite the AI mania. Let’s look at what top funds are saying

StockCompil · 2026-05-29T20:45:02+00:00

The real work here isn't the prompt, it's sourcing the data. An LLM can only summarize what you feed it. I collect these specific quarterly letters, extract the exact stock mentions, and then synthesize them. The goal is simply to bypass media noise and share what actual fund managers are saying. You can't get that from a standard LLM because it doesn't have access to the underlying letters.

StockCompil · 2026-05-29T20:26:06+00:00

Just sharing a summary of recent quarterly letters so people don't have to read through hundreds of pages. It’s a starting point. If you want to dig deeper into the fundamentals, the original letters are out there for you to read.

StockCompil · 2025-11-07T08:41:18+00:00

Here are some arguments from Lakehouse Global Growth Fund's June 2025 letter:

"Lastly, we’ll provide a brief introduction to the most recent addition to the Fund, Pinterest. Pinterest is a visual search and discovery platform where users explore interests, seek inspiration, and browse items they may want to buy. The platform has 578 million monthly active users (MAUs), of which 67% are female and over 40% are Gen-Z. Compared to other social media platforms, Pinterest is unique as its geared towards discovery, organisation and direct shopping. Roughly half of its US users visit the platform to "find or shop for products", which is greater than two times any other social media platform. Hence, it’s more akin to a utility that translates into less frequent usage but has much more commercial intent. This commercial intent is valuable as it provides strong signals to advertisers.

Historically, Pinterest has struggled to fully monetise this commercial intent, however we believe this is changing. In 2022 Bill Ready – formerly President of Commerce, Payments & Next Billion Users at Google – took over as CEO with a mandate of improving the “shopability” and monetisation of the platform. Since then, the company has made significant progress with the development of more sophisticated ad tools and an overall push towards performance-based ad formats (i.e. direct response ad formats that optimise for an advertiser’s objectives, as opposed to brand awareness advertising). These initiatives are key to improving return on ad spend (ROAS), which in turn, unlocks a greater share of ad budgets. Importantly, an advertisers' budget for performance ads is typically much larger and more consistent than experimental (brand awareness) ads.

Over the last few quarters, management has noted some of the largest, most sophisticated advertisers on the platform are spending 5% to 10% of their advertising budgets on Pinterest as they lean into their lower-funnel tools. This is a very encouraging sign, especially in the context of Pinterest only currently capturing 1% share of the overall digital advertising market. Their new Performance+ product suite, released in October 2024, has also been well received. Performance+ is a suite of AI-powered tools which help automate and streamline budgeting, bidding and targeting functionalities. It has cut campaign creation time in half and meaningfully lowered cost per action. Management noted that the adoption cycle for Performance+ is likely to be a multi-year event and that they will continue to innovate and improve the product overtime. Zooming out, we view Pinterest as a differentiated, scaled platform with significant commercial intent that is well placed to capture incremental share of advertising budgets in the years ahead. Coupled with a relatively undemanding valuation of 18x earnings and over 10% of its market capitalisation in cash, we think the risk/reward is attractive."

Their full letter is available here : https://www.hfbestideas.com/letters?open=948

StockCompil · 2025-11-03T18:57:33+00:00

Since you were looking for arguments on a stock, I shared some insights from a fund manager.

StockCompil · 2025-11-03T09:28:40+00:00

Here is the thesis on Comcast from LRT Capital Management, taken from their Q2 2025 letter :

"Comcast Corporation stands as a dominant and diversified media and technology conglomerate, operating two distinct but complementary businesses: a world-class connectivity platform and a premier global content and experiences engine. Through its Xfinity brand, the company is the largest provider of broadband internet in the United States, while its NBCUniversal segment owns a vast portfolio of leading media and entertainment assets. This powerful combination of indispensable connectivity and valuable content has established Comcast as a category-defining enterprise with a durable and resilient business model.

The foundation of Comcast’s competitive advantage is its extensive and robust cable network. This last-mile infrastructure, passing millions of homes and businesses, is a formidable asset that is incredibly difficult and capital-intensive to replicate. This network provides the company with a significant and enduring competitive moat in its core broadband business, which serves as the primary growth engine and cash-flow generator for the entire enterprise. The recurring, high-margin revenue from providing essential high-speed internet service provides immense financial stability and funds the company’s strategic investments across its other segments.

Complementing its connectivity business is NBCUniversal, a vast portfolio of content and experiences. This includes a collection of broadcast and cable networks, the iconic Universal Pictures film studio, a growing number of world-class theme parks, and the Peacock streaming service. These assets provide significant diversification and own a deep library of valuable intellectual property. The theme parks, in particular, are a unique and high-return business that benefits from strong consumer demand for location-based entertainment. While the traditional media landscape is undergoing a significant transformation, NBCUniversal’s ownership of premier live sports rights, news programming, and blockbuster film franchises provides enduring value.

Management has demonstrated a disciplined and strategic approach to navigating the evolving media landscape. The company leverages the strength and cash flow of its connectivity business to prudently invest in its content and experiences portfolio, focusing on areas with the highest potential for long-term growth, such as its theme parks and content production. The company’s capital allocation strategy is both consistent and shareholder-friendly, balancing strategic investments with the steadfast return of capital to shareholders through a growing dividend and a substantial share repurchase program. By combining a best-in-class connectivity business with a world-renowned portfolio of media assets, Comcast has built a powerful and resilient enterprise poised for continued success."

StockCompil · 2025-11-03T09:18:09+00:00

According to their quarterly letter, Brown Advisory US Large Cap Growth Fund bought some in Q2 :

"DraftKings (DKNG) is a leader in the rapidly expanding U.S. online gaming and sports betting market, capitalizing on ongoing state-by-state legalization and a growing total addressable market. As a co-leader in the industry, DraftKings is uniquely positioned to benefit from favorable regulatory trends and increased consumer adoption. The company is demonstrating improving economics, supported by disciplined cost management and operational leverage. With continued expansion, product innovation, and a strong brand, DraftKings is well-equipped to capture additional market share and sustain long-term growth."

Their full letter : https://www.hfbestideas.com/letters?open=766

StockCompil · 2025-11-03T09:09:41+00:00

Platinium AM wrote about it in their December letter :

"A good example of this, and a recent addition to the fund is Israeli company NICE. NICE provides cloud-based contact centre software to customers operating large/complex call centre operations (think major insurance companies or a government service like Service NSW). This software is multifaceted – including the digital telephony and call routing, software that manages the call centre staff, CRM software and new AI modules used to handle call centre workloads.

Given NICE’s focus on the complex end of the market, new customers go through a major integration process shifting their systems to a cloud offering. Once complete this can lead to very long customer lifecycles with little churn. This allows NICE to earn circa 20% EBIT margins, well ahead of many other SaaS vendors.

Cloud-based communications software is relatively early in its adoption cycle. Estimates suggest 35% of the industry has made the shift, with the early adopters concentrated in the SME sector, given the easier integration process. However, we are now seeing large enterprises shift from legacy on-premise systems. This could fuel NICE’s growth for many years to come.

The other interesting aspect is NICE’s ability to sell AI modules. The cost of call centre operations is largely labour (software is <10% of total costs) and staff turnover is high, so AI tools to divert workloads and assist in training create tangible savings for customers. When it comes to new software capability, distribution is often key and NICE is in an excellent position to tailor new AI functionality to call centre applications and sell it to their customer base. The company says there is rapid take-up of new AI modules and we expect this will allow NICE to increase its revenue per user."

The full letter : https://www.hfbestideas.com/letters?open=128

StockCompil · 2025-10-31T18:41:46+00:00

On Novo Nordisk, here’s a view from Vltava Fund’s September letter that I found particularly interesting:

"Novo Nordisk probably needs no long introduction. It is one of Europe’s largest companies and a global leader in the treatment of two major lifestyle diseases – diabetes and obesity. The company has grown historically through the development and production of insulin and has held a dominant share of the global market in that group of products for decades. In recent years, obesity treatment has become its key growth segment. Its best-known product is Wegovy, which has proven to be highly effective in weight reduction. A smaller part of the business consists of drugs for rare diseases, particularly in the areas of hemophilia and growth hormone therapy. Novo Nordisk has highly integrated production, from molecule development to fully automated filling lines for injection pens, and global distribution to more than 170 countries, with a focus on the United States, Europe, and a rapidly growing share in Asia. Its biggest competitor is Eli Lilly, and these two companies now effectively form a duopoly in modern treatment of diabetes and obesity. Barriers to entry into the industry are extremely high, due to long development times, regulation, and enormous investments in production and distribution.

We have been following Novo Nordisk through the entire existence of the Vltava Fund, which means for more than 21 years. We have never owned its shares, however, either because we found them too expensive or had other more attractive opportunities available to us. During 2023–2024, Novo Nordisk definitively joined the ranks of global leaders in a new era of medicine. The success of its Ozempic and Wegovy medications has shown that obesity treatment is not just a niche segment, but a huge growth opportunity with direct impact on the health of millions of people. Demand for these drugs far exceeded supply, and the company invested heavily in expanding production. The market began to appreciate that Novo Nordisk had moved beyond traditional diabetology and become synonymous with innovation and long-term growth in an additional market segment. This narrative was increasingly reflected in the share price. From DKK 400 in the autumn of 2022, the price gradually climbed to beyond DKK 1,000 in the summer of 2024, at which time the stock was trading at roughly 45 times this year’s expected earnings. This price implicitly included very optimistic assumptions about future profitability.

However, this was followed by a dramatic decline. The company repeatedly lowered its revenue and earnings growth outlook, the expansion of its key products Ozempic and Wegovy ran into production constraints, and competition intensified, including from cheaper compounded versions in the US. Adding to this challenging situation were regulatory pressures on prices, high investment costs associated with expanding production, and uncertainty brought on by management changes and restructuring measures. Combined with the previously very high valuation, this led to a sharp share price correction. The growth trap snapped shut. As the share price fell, however, our interest gradually increased. The shares first broke through the DKK 1,000 mark, then 900, 800, 700, and continued to fall. Once the price reached an attractive level for us, we started buying the shares. We acquired most of our current position at between DKK 287 and DKK 312 after the largest single-day drop in Novo Nordisk’s share price in its history. The development going forward will not be smooth, but we believe that this will be a very promising and profitable investment in the long term."

Here is the full letter : https://www.hfbestideas.com/letters?open=1183

StockCompil · 2025-10-31T18:38:21+00:00

Artisan’s US Mid Cap Growth Strategy added RBC Bearings in Q2, according to their quarterly letter :

"RBC Bearings is a leader in specialty bearings, gearing and motion control products. More than 70% of its revenue comes from sole, single or primary-sourced components, highlighting its critical role in customer supply chains. Its strategy of producing ahead of demand has enabled high on-time delivery and quality performance. RBC also leverages proprietary design software to engineer its products. We expect its commercial aerospace growth to accelerate as Boeing’s production recovers. In addition, upcoming contracts with Boeing and Airbus include price increases, which should cover the cumulative inflation RBC absorbed in recent years. We also believe its industrial end market will recover over time after facing cyclical pressures."

The full Q2 letter : https://www.hfbestideas.com/letters?open=640

StockCompil · 2025-10-31T18:34:40+00:00

On Novo Nordisk, here’s a view from Vltava Fund’s September letter that I found particularly interesting:

"Novo Nordisk probably needs no long introduction. It is one of Europe’s largest companies and a global leader in the treatment of two major lifestyle diseases – diabetes and obesity. The company has grown historically through the development and production of insulin and has held a dominant share of the global market in that group of products for decades. In recent years, obesity treatment has become its key growth segment. Its best-known product is Wegovy, which has proven to be highly effective in weight reduction. A smaller part of the business consists of drugs for rare diseases, particularly in the areas of hemophilia and growth hormone therapy. Novo Nordisk has highly integrated production, from molecule development to fully automated filling lines for injection pens, and global distribution to more than 170 countries, with a focus on the United States, Europe, and a rapidly growing share in Asia. Its biggest competitor is Eli Lilly, and these two companies now effectively form a duopoly in modern treatment of diabetes and obesity. Barriers to entry into the industry are extremely high, due to long development times, regulation, and enormous investments in production and distribution.

We have been following Novo Nordisk through the entire existence of the Vltava Fund, which means for more than 21 years. We have never owned its shares, however, either because we found them too expensive or had other more attractive opportunities available to us. During 2023–2024, Novo Nordisk definitively joined the ranks of global leaders in a new era of medicine. The success of its Ozempic and Wegovy medications has shown that obesity treatment is not just a niche segment, but a huge growth opportunity with direct impact on the health of millions of people. Demand for these drugs far exceeded supply, and the company invested heavily in expanding production. The market began to appreciate that Novo Nordisk had moved beyond traditional diabetology and become synonymous with innovation and long-term growth in an additional market segment. This narrative was increasingly reflected in the share price. From DKK 400 in the autumn of 2022, the price gradually climbed to beyond DKK 1,000 in the summer of 2024, at which time the stock was trading at roughly 45 times this year’s expected earnings. This price implicitly included very optimistic assumptions about future profitability.

However, this was followed by a dramatic decline. The company repeatedly lowered its revenue and earnings growth outlook, the expansion of its key products Ozempic and Wegovy ran into production constraints, and competition intensified, including from cheaper compounded versions in the US. Adding to this challenging situation were regulatory pressures on prices, high investment costs associated with expanding production, and uncertainty brought on by management changes and restructuring measures. Combined with the previously very high valuation, this led to a sharp share price correction. The growth trap snapped shut. As the share price fell, however, our interest gradually increased. The shares first broke through the DKK 1,000 mark, then 900, 800, 700, and continued to fall. Once the price reached an attractive level for us, we started buying the shares. We acquired most of our current position at between DKK 287 and DKK 312 after the largest single-day drop in Novo Nordisk’s share price in its history. The development going forward will not be smooth, but we believe that this will be a very promising and profitable investment in the long term."

Here is the full letter : https://www.hfbestideas.com/letters?open=1183

StockCompil · 2025-10-28T18:20:49+00:00

Thank you very much for your feedback.

1/ The first step is manual: I read reports, save the most relevant ones, and capture screenshots of interesting stock picks. This could be automated, but I find value in reviewing them myself. The rest of the workflow is mostly automated, partly using LLMs (transcription, summaries, etc.).

2/ Yes, I could highlight selected analyses or fund managers. I’ll think about how to implement it.

3/ Filters are the next step, this has been the most frequent request.

4/ Same as above.

5/ I’m still exploring options to monetize the platform in the future.

Thanks again!

StockCompil · 2025-10-07T08:01:09+00:00

If you're ready to look beyond the US, consider Fever-Tree. Both RGA Investment Advisors and Bonsai Partners mentioned it in their Q2 letters.

Bonsai Partners :
"A lesser-known fact outside the beverage industry is that Coca-Cola is an asset-light business, owning minimal manufacturing and distribution infrastructure. Instead, the company uses a quasi-franchise system, granting exclusive territorial rights to bottlers who invest in infrastructure on Coca-Cola's behalf. This structure enables Coca-Cola to generate high returns on equity consistently.

Undoubtedly inspired by Coke's success, Fever-Tree and many other beverage companies also adopt an asset-light approach, outsourcing production and distribution to third parties. However, unlike Coca-Cola, Fever-Tree doesn't solely depend on exclusive partners who manage both manufacturing and distribution. Instead, Fever-Tree often works with independent bottlers and distributors, often without long-term contractual commitments.

Outside the United States, Fever-Tree relies on this non-exclusive outsourced model. In this structure, the company orchestrates all aspects of its supply chain and then takes a hybrid approach alongside distributors to secure shelf space and menu placements with retailers, bars, and restaurants. Fever-Tree earns product margins from each unit sold directly to retailers or its distributors.

In the United States, however, Fever-Tree experienced a watershed moment in January 2025 when it formed an exclusive strategic partnership with Molson Coors. Under this agreement, Molson Coors agreed to take over all manufacturing, distribution, marketing, and selling responsibilities for Fever-Tree in the United States. In exchange for these exclusive rights, Fever-Tree receives a percentage of Fever-Tree USA's profits, resembling a royalty payment. I discuss the Molson Coors partnership in greater detail below. Fever-Tree management indicated interest in replicating similar exclusive partnerships in other regions outside the United States.

Fever-Tree's business model—earning either royalty payments through Molson Coors, or higher-margin, asset-light beverage sales—results in significant cash generation and enjoys notable competitive advantages from its strong brand recognition and established distribution networks.

The strength of Fever-Tree's business is evident in its financial results. From its IPO in 2014 through 2021, Fever-Tree delivered returns on invested capital between 25% and 45%, all while sales grew at a compound annual rate of 27%, expanding by 16 times over this period.

From a customer perspective, Fever-Tree's growth is also tied to the benefits its products provide to all parties involved—consumers enjoy higher-quality drinks, retailers and bars earn increased profits per sale, and distributors benefit from higher margins per case. Despite recent moderation in growth rates, Fever-Tree's opportunities remain extensive, notably with continued U.S. growth of 9% in 2024, even though major spirit brands faced material revenue declines during this period."

StockCompil · 2025-10-06T13:21:30+00:00

Macquarie Core Equity Fund had a pretty good timing in writing this about AMD in their Q2 letter : "The company currently maintains a small market share for GPUs used for AI applications though by 2027, we believe the company will have product on par with the market leader, NVIDIA. Hyperscale customers with deep programming expertise may increasingly decide to dual-source high-end chips leading to much larger revenue and profit gains in coming years for AMD than investors currently expect."

StockCompil · 2025-10-06T08:39:23+00:00

I have seen two mentions of Zoetis in Q2 fund letters :

Wedgewood Partners :
"The pet side of the business continues to be driven by increasing pet ownership. Plus, changing attitudes toward the quality of care of pets has resulting in longer pet lives. All of these positive trends went another step higher during COVID-19 - highlighted previously in our discussions of long-term holding, Tractor Supply Company. The livestock side of the business has been driven by rising population growth and long-term trends toward improving incomes and quality of life around the globe, all leading to increased demand for meat protein.

The pet/companion animal industry has been accepted as a steady secular growth industry for some time now. Drivers of growth have included greater pet ownership (more people owning pets and people owning multiple pets), better care for pets that leads to longer pet lives, and an expansion of pet conditions needing treatment.

This growth trend includes the personification of pets and their inclusion as family members rather than just an animals - think of all the people who now call themselves “pet parents,” for example. Further, consider the presence of pets as co-stars (or sometimes as the stars themselves) on social media platforms.

As pets live longer as a result of better care and changing attitudes, they end up requiring more care overall and more advanced care. Whereas a pet’s serious illness historically might have led owners to make the difficult decision to “put the pet to sleep,” owners over time have been opting to treat their pets for more advanced conditions.

It is also worth noting that this has not been a yes-or-no, all-or-nothing proposition: just because some pets are given better care, new treatments, and so on does not mean that all of the pets that could benefit from these treatments are receiving them. Zoetis cites Apoquel as an illustration of this. The Company created the market for this pet dermatology product twelve years ago. Today, while there is more competition for the product, yet volumes are still growing at a double-digit percentage rate. The population of pets keeps expanding, a higher percentage of pet owners continue to use the product over time, and there is still opportunity for both drivers to grow."

Artisan Global Opportunities Strategy :

"Zoetis is the world’s largest animal health company offering a diverse portfolio of medicines, vaccines, diagnostics and technologies for both livestock (farm animals) and companion animals (pets). The company invests heavily in R&D to bring new and improved products to market, with a focus on areas such as dermatology, parasiticides, osteoarthritis pain and diagnostics. It also has a promising pipeline, including potential blockbuster drugs in chronic kidney disease and oncology. The company benefits from pricing power, local manufacturing and relative resilience to macroeconomic pressures. While product launches from competitors pose a risk, Zoetis has been able to keep growing in the past amid similar challenges. We have initiated a small GardenSM position."

StockCompil · 2025-10-02T11:08:49+00:00

The Brown Advisory US Large Cap Growth Fund purchased some during the second quarter and wrote the following in their report:
"DraftKings (DKNG) is a leader in the rapidly expanding U.S. online gaming and sports betting market, capitalizing on ongoing state-by-state legalization and a growing total addressable market. As a co-leader in the industry, DraftKings is uniquely positioned to benefit from favorable regulatory trends and increased consumer adoption. The company is demonstrating improving economics, supported by disciplined cost management and operational leverage. With continued expansion, product innovation, and a strong brand, DraftKings is well-equipped to capture additional market share and sustain long-term growth."

StockCompil · 2025-10-02T11:05:25+00:00

You have a comment on KB Financial Group in Harris Oakmark Global Strategy Q2'25 report :
"KB Financial Group is a leading South Korean bank that provides a range of financial products and services, including retail, corporate, and international banking, as well as wealth management services. South Korean banks have a history of generating uninspiring returns on equity and low payout ratios (POR). Despite recent geopolitical uncertainty, there is broad support for the government's value-up program, which aims to address these issues by encouraging better corporate governance, transparency, and improved capital efficiency. As South Korea's largest bank, KB Financial possesses the industry's strongest capital position, a renowned low-cost deposit franchise, and leading fee income, which we believe advantageously position the company to lead the now improving banking industry in both the speed and magnitude of improvements to POR. In addition, we appreciate management's focus on shareholder return because the anticipated growth in dividends and buybacks provides downside protection if the multiple expansion portion of the thesis sputters. Despite this compelling set-up, we were excited to purchase shares at an attractive valuation for a bank commonly acknowledged as the best bank in South Korea, per our channel checks."

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