Welcome To Sprout8
We’re a platform for investment discovery and high level market analysis. Not only do we share our market research, analysis and insights, we also connect you to exceptional small caps we believe to have excellent growth prospective.
Behind the scenes, we’re a diverse team of three analysts with expertise in Bio, Tech, Resources and Marketing. We’ve observed inefficiencies within the investor market, analysed countless occurrences of the issues and developed ways to improve outcomes for investors and promising small caps.
How do we do it? We’re very good at auditing, cutting through the noise and getting to the core of a company’s risks and potential.
ABOVE ALL, we want to create thought provoking conversations and expose ourselves and our community to different ideas. Inspired by the quote below:
Find people of alternative points of view and have quality conversations back and forth. Not to let them think for me, not for me to follow their point of view, but for me to understand the different perspectives. Because it increases my probability of being right, and it reduces my probability of being wrong.
Our Core Tenets
Given our independence from brokers, we may not feel like a traditional firm promoting only house stocks. While we do occasionally do business with some of the companies we cover, this is only after they pass our very rigorous screening processes.
We are value investors at heart and operate in the small cap space – in our experience, this is where many of the hidden gems are. However, it’s also where you can be fooled by many high risk, hype-fueled investments. We’re passionate about risk management and always encourage a portfolio-based approach to minimise stock-specific risk.
Our screening process is intentionally slow. We prioritise research with longer shelf life rather than focusing on daily price movements or short-term momentum trading. There’s great value in this approach – it allows us to uncover hidden gems that are inherently undervalued but boast defensible IP, strong management and ultimately, represent sound investment (as opposed to trading) opportunities.
Update: Netflix the Sore Tooth in FANG?
As a follow-up to the analysis we posted on July 18th, on 20th December we announced to our subscribers that we had closed our short position on a temporary basis. The decision was two-fold. The share price had fallen materially, in line with our forecasts,…
Netflix the Sore Tooth in FANG?
NETFLIX NASD:NFLX Authored by N.A.S.M. at Sprout8.com Date: 18/7/2018 Current Price: $380 PE Ratio (TTM): 172 Disclosure: Sprout8 analysts have initiated a short position in Netflix at $382.20 Netflix the Sore Tooth in FANG? Short view – heightened headwinds at a time of historical high valuations…
Life sciences specialist Merchant Opportunities Fund ups stake in Rhythm
After going substantial on 12 June, Merchant Group has increased its equity stake in RHY.ax from 5.02% to 7.01%, purchasing an additional 2,000,000 for $449,561, equating to $0.225 per share.
Biotech investor Merchant Group becomes a substantial holder of RHY
Rhythm Biosciences welcomes leading biotechnology investor Merchant Group as a substantial holder, buying at between $0.18 and 0.21, average 0.1915 (Refer Annexure A). The Merchant Opportunities Fund, which now holds 5,060,000 FPO or 5.02 percent of Rhythm (up from 2,200,000 units as reported on Sprout8 Twitter…
RHY: An attractive medical diagnostics technology company
RHYTHM BIOSCIENCES LIMITED ASX:RHY Excellent prognosis: An attractive medical diagnostics technology company Authored by N.A.S. at Sprout8.com Date: 13/5/2018 Current Price: $0.18 If you only have 5 minutes, we recommend you read: Investment View; Critical Path to Commercialisation, including our perceived risk levels; and Valuation….