I'm mainly looking at it from these angles:
1) Understanding what consensus thinks, Bull/Bear debate
2) Gain deeper understanding of the business model
3) Sieving out any other information that could be helpful for underwriting your investment case
4) Testing key drivers (and my assumptions) to see if they are valid
Curious to hear WSO's thought about it. Cheers!
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Great question! When meeting with sell-side or company management, it's crucial to ask pointed questions that can help you understand the business better and make informed investment decisions. Here are some questions that can be helpful:
1) Understanding what consensus thinks, Bull/Bear debate: - "What are the longer-term red flags that I should be watching for that would make me a seller?" - "Why do you think you're trading at a premium/discount to your peers/the market?" - "Which sell-side analyst would you recommend I speak with about your stock?"
2) Gain deeper understanding of the business model: - "What kind of incremental return or hurdle rate do you think about internally on capex or M&A decisions?" - "What's the biggest challenge for the business in the near-term, and then thinking longer-term?" - "What are the key drivers of the business (both revenue and cost)?"
3) Sieving out any other information that could be helpful for underwriting your investment case: - "What's their competitive advantage?" - "What's one mistake your competitors are making, and what can you do to capitalize on it?"
4) Testing key drivers (and my assumptions) to see if they are valid: - "What are the potential opportunities available?" - "If you didn't exist, who do you think your customers would use?" - "Is there a model company in your industry or a company outside your industry that you really admire?"
Remember, the goal is to gather as much information as possible to make an informed decision. Don't hesitate to ask follow-up questions if you need more clarity. Happy investing!
Sources: How to identify strong management team?, Questions for Management, Investment Banking Interview Questions - 15 Answers to Land the Job, Give me your best examples of first hand research / edgy view!
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