Mordechai Yavneh of Focus Capital Management presented his investment thesis on Valeura Energy (Canada: VLE) at Best Ideas 2025.
Thesis summary:
Valeura Energy has undergone two transformational acquisitions, becoming the largest independent oil producer in the Gulf of Thailand. It is incredibly cheap for a highly profitable and cash-flow generating company, with multiple avenues of growth ahead. For a recent market cap of $610 million USD, an investor receives $259 million in cash (no debt) and a company that produces $100-$160 million a year in free cash flow.
Management is excellent and has exhibited stellar capital allocation. Management is continuing to look for further acquisitions in the region, and given their strong track record with their acquisitions so far, that is a good thing. But even if the company is unsuccessful in finding another great acquisition, Mordechai views the shares as greatly undervalued based on current operations.
Watch this session:
slide presentation audio recording
About the instructor:
Mordechai Yavneh is the founder and manager of New York-based Focus Capital Management, LLC, a boutique long-only hedge fund launched in 2013. Focus Capital Management is a fund with a fairly unique approach to investing. Our unique advantage comes from implementing and capitalizing on the value that concentration brings to an investor’s portfolio. We believe that focusing our time, energy, research, analysis, and resources on our best ideas generates superior long-term returns with a reduced level of risk built into each investment. We aim to invest in 4-5 positions at a time, and we believe this concentration and the deep research we invest in each of our positions is the driver behind our long-term success. More information about his investment approach and research process, as well as past and current investment letters, can be found at focuscapitaladvisers.com
The content of this website is not an offer to sell or the solicitation of an offer to buy any security. The content is distributed for informational purposes only and should not be construed as investment advice or a recommendation to sell or buy any security or other investment, or undertake any investment strategy. There are no warranties, expressed or implied, as to the accuracy, completeness, or results obtained from any information set forth on this website. BeyondProxy’s officers, directors, employees, and/or contributing authors may have positions in and may, from time to time, make purchases or sales of the securities or other investments discussed or evaluated herein.
About The Author: MOI Global Editorial Team
The MOI Global Editorial Team, led by John Mihaljevic, CFA, includes community builders, event organizers, writers, editors, research associates, security analysts, and fanatical member support advocates. Our sole purpose is to serve the members of MOI Global as well as we possibly can in order to help them learn, invest intelligently, and build lifelong friendships with like-minded people.
Who is MOI Global? In recent years, The Manual of Ideas has expanded to become more than simply “the very best investing newsletter on the planet” (Mohnish Pabrai). We are now a thriving global community of intelligent investors, connected through great ideas, thought-provoking interviews, online conferences, live member events, and much more.
Members of MOI Global enjoy complimentary access to a growing array of resources and content related to the art of intelligent investing. Members also enjoy preferential access to selected offline events as well as exclusive access to other events hosted by MOI Global, including the Zurich Project Summit, the Latticework Conference, and Ideaweek.
More posts by MOI Global Editorial Team