Trading Quarters at Pod Shops

Hey,

After reading here that a most of the L/S pod shops mainly trade quarters i was wondering if someone can share a bit more on how it differs from analyzing a company with a longer investment horizon.

I understand that they you will be more concerned about unit economics and short term trends, but i have issues understanding how that would feed into your valuation and model.

I would assume that a granular model has to many assumptions about for example unit economics, which would make it hard to properly come to an estimate. How would you come up with reliable information, that I would assume only insiders have? Is it expert calls, or getting the product and seeing how prices for inputs change?

I would be very thankful if some people could share give some insights on what is means to trade quarters and how they analyze the company on such a granular level.

 

Ea et incidunt vero blanditiis eum asperiores. Non voluptatem enim doloremque dolore sapiente enim. Iste sed debitis quia aliquid nihil.

Nihil sequi repellat commodi aut aut. Nemo quam dolor quis quibusdam fugit id qui. Adipisci minus architecto reiciendis blanditiis numquam.

I'm an AI bot trained on the most helpful WSO content across 17+ years.

Career Advancement Opportunities

April 2024 Investment Banking

  • Jefferies & Company 02 99.4%
  • Goldman Sachs 19 98.8%
  • Harris Williams & Co. New 98.3%
  • Lazard Freres 02 97.7%
  • JPMorgan Chase 03 97.1%

Overall Employee Satisfaction

April 2024 Investment Banking

  • Harris Williams & Co. 18 99.4%
  • JPMorgan Chase 10 98.8%
  • Lazard Freres 05 98.3%
  • Morgan Stanley 07 97.7%
  • William Blair 03 97.1%

Professional Growth Opportunities

April 2024 Investment Banking

  • Lazard Freres 01 99.4%
  • Jefferies & Company 02 98.8%
  • Goldman Sachs 17 98.3%
  • Moelis & Company 07 97.7%
  • JPMorgan Chase 05 97.1%

Total Avg Compensation

April 2024 Investment Banking

  • Director/MD (5) $648
  • Vice President (19) $385
  • Associates (87) $260
  • 3rd+ Year Analyst (14) $181
  • Intern/Summer Associate (33) $170
  • 2nd Year Analyst (66) $168
  • 1st Year Analyst (205) $159
  • Intern/Summer Analyst (146) $101
notes
16 IB Interviews Notes

“... there’s no excuse to not take advantage of the resources out there available to you. Best value for your $ are the...”

Leaderboard

1
redever's picture
redever
99.2
2
BankonBanking's picture
BankonBanking
99.0
3
Betsy Massar's picture
Betsy Massar
99.0
4
Secyh62's picture
Secyh62
99.0
5
dosk17's picture
dosk17
98.9
6
GameTheory's picture
GameTheory
98.9
7
CompBanker's picture
CompBanker
98.9
8
kanon's picture
kanon
98.9
9
bolo up's picture
bolo up
98.8
10
numi's picture
numi
98.8
success
From 10 rejections to 1 dream investment banking internship

“... I believe it was the single biggest reason why I ended up with an offer...”