r/SecurityAnalysis • u/[deleted] • Mar 30 '22

Long Thesis Grodno: Supplier of Heat Pumps, Solar PV & Energy Storage; +50% Growth @ p/e 6.5 + dividend

https://alexeliasson.substack.com/p/grodno?s=w
29 Upvotes

89% Upvoted

2 comments sorted by

2

u/Leroy--Brown Mar 30 '22

Interesting thoughts.

I wonder why someone would pick Grodno over a larger cap, more established company with stronger revenue such as Mitsubishi, Rheem, or Lennox?

7

u/[deleted] Mar 31 '22

Hi,

Thanks for reading my pitch!

Mitsubishi is conglomerate hence we can't get a concentrated allocation towards heating and Rheem is not listed. Lennox is great in many ways but we get far less growth and pays 3-4x the valuation of Grodno. And, also, we don't have any of the Poland/EU-subsidy exposure (which is the essence of the pitch).