mixetto/E+ via Getty Images Investment Thesis YETI (NYSE: YETI ) has been struggling heavily in the past two years, with the share price down over 60% from its all-time high in 2021. The company is extremely exposed to macro headwinds which continue to put significant pressure on its financials. It reported a “kitchen sink” Q4 earnings with a double miss and guidance for the year was also way below the street’s consensus. This is actually positive in my opinion as it gets rid of all the bad news and reset investors’ expectations of its upcoming performance. After the plummet, the company is trading at an attractive valuation with multiples meaningfully below its historical average. I think its potential upside largely depends on the magnitude of the economic slowdown while the downside should be limited as a lot of pessimism is already priced in. I like the risk-to-reward ratio at the current levels and I rate YETI as a buy. Data by YCharts Macro Headwinds For those who are unfamiliar with the company, YETI is a Texas-based consumer brand that specializes in outdoor products such as drinkware, coolers, bags, and other related equipment. The company is one of the most […]
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
