Ben Gordon: The Hunt For Extraordinary Returns

PodcastResearch
Written By Alex Barrow

The Value Hive Podcast is brought to you by TIKR. Join the free beta today at TIKR.com/hive. They're constantly releasing new updates that make the platform better, including a new Business Owner Mode that hides share count, market cap, and enterprise value. I couldn't be more excited to partner with TIKR.We're also excited to announce our newest sponsor, Eight Sleep! Eight Sleep makes products that improve your sleep through personalized temperature, smarter data, and patented technology. There is truly nothing like Eight Sleep on the market. With Eight Sleep, you can see exactly how well you sleep, how often you toss and turn, resting/variable heart rate, and more! The technology is unlike anything you've seen from a mattress company. Try an Eight Sleep mattress yourself! Use the code HIVE to get $100 off your mattress purchase!Alright, now onto this week's show!This week I had the privilege to talk with Ben Gordon. He is the founder and head portfolio manager at Blue Grotto Capital. This episode is a deep dive into Ben’s process of researching and finding ideas, why he started Blue Grotto, his prior work at GMT, why he went long on Spectrum Brands and Cedar Fair Entertainment, and why shorting is a dark art.Here is the time-stamp:

  • [0:00] The Story Behind Blue Grotto
  • [3:00] Who is Ben Gordon?
  • [6:40] From Analyst to PM: Emerging Markets Wireless Carriers
  • [10:00] Reply S.p.A and Smurfit Kappa
  • [12:05] Using Regressions to Find Ideas
  • [16:30] The IT Business
  • [18:20] Lessons from Bad Investment Ideas: Michael Kors
  • [22:10] Importance of Walking Away from an Investment Theme
  • [30:00] The Catalyst to start Blue Grotto
  • [36:05] Spectrum Brands
  • [46:00] Cedar Fair Entertainment: The Theme Park Business a Regional Monopoly
  • [49:10] Shorting: The Dark Art
  • [55:30] Shorting Orthopediatrics $KIDS
  • [1:00:00] Position Sizing while Shorting
  • [1:04:00] VMware: Optionality and Themes Case Study
  • [1:12:40] Ben Gordon’s Investing Mosaic
  • [1:22:00] Improving Weaknesses
  • [1:27:10] More from Ben and Closing Questions

If you liked what you heard, check out Ben's website here.

Alex Barrow

Founder & MO Team Lead, CIO at Foundation Capital, macro junky, former Intelligence professional at FBI, DIA, and DOD, USMC Scout Sniper turned yogi/meditator.

https://x.com/MacroOps
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