Trimming CombinedX before today’s earnings report at a price of 49.1 SEK. A nice return of over 30% in 3 months. The SEK took a hit of over 4%. I left half of the position in my portfolio. The original investment case regarding valuation expansion was realized quite quickly, supported by the company’s good figures. In Sweden, the market situation in the IT services sector is, similar to Finland, very difficult in the short term, and although I believe CombinedX is better protected from the effects of the difficult market situation than many of its peers (especially compared to those specializing in custom software development), I wouldn’t be surprised if the short-term figures were slightly weaker. Additionally, the IT services sector currently has a bit too much weight in my portfolio, even though I see the current valuations of the sector as generally attractive in the current highly pessimistic climate.
However, I see the company’s technology-specialized strategy as effective, and due to recent promising-looking acquisitions, it’s nice to remain on board with the company at this valuation. Here are a few other recent thoughts from the company thread:
https://keskustelut.inderes.fi/t/combinedx-joukko-teknologiakeskittyneita-it-palveluyhtioita-ruotsista/46387/15?u=frans-mikael_rostedt
Edit. I’ll probably end up looking foolish after the earnings report, as at least immediately after my sales, the buy side appeared at higher levels 