YNDX

Yandex N.V.

TMT


Presented:04/17/2019
Price:$38.20
Cap:$12.40B
Current Price:$18.94
Cap:$6.85B

Presented

Date04/17/2019
Price$38.20
Market Cap$12.40B
Ent Value$8.57B
P/E Ratio16.48x
Book Value$8.14
Div Yield0%
Shares O/S324.73M
Ave Daily Vol2,799,143
Short IntN/A

Current

Price$18.94
Market Cap$6.85B
Yandex NV operates as an investment holding company, which engages in the provision of search engines and online services. It operates through the following business segments: Search and Portal, E-Commerce, Taxi, Classifieds, and Experimental Businesses. The Search and Portal segment includes all the services offered in Russia, Belarus and Kazakhstan. The E-Commerce segment is comprised of the Yandex.Market service. The Taxi segment is consist of Yandex.Taxi service. which is combined with ride-sharing business of Uber in Russia and neighboring countries, as well as Yandex.EAT. The Classifieds segment represents Auto.ru, Yandex.Realty, Yandex.Jobs and Yandex.Travel. The Experimental Businesses segment is comprised of media and discovery services; Yandex Data Factory; and search and portal activities in Turkey. The company was founded by Elena Kolmanovskaya, Ilya Segalovich, Mikhail Fadeev, and Arkady Volozh in 2000 and is headquartered in Amsterdam, the Netherlands.

Publicly traded companies mentioned herein: Alphabet Inc (GOOG; GOOGL), Lyft Inc (LYFT), Sberbank of Russia PJSC (SBER RM), Yandex NV (YNDX)

Highlights

With Yandex (YNDX) stock in the high $30s (~$38), the presenter likes the risk/reward setup and timing for a long position. Having been long the stock previously, the Q4 ‘18 dislocation was a catalyst to revisit the story. The bullish thesis has three main parts: an attractive technical setup relative to the fundamentals of the business; the potential for growth to exceed conservative guidance and Street expectations for the core search business this year; and a “deep value” story revolving around the Taxi business, which grew rides 112% YoY in Q4 ‘18 and is now profitable. The stock looks like a “coiled spring” and could trade up to $51 over the next 12 months [this target is based on what could prove to be a conservative sum-of-the-parts (SOTP) model].

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Idea Discussion

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