Quiet Contrarian. Ep66: Trades for May 2025

Sells

Nick Scali Ltd – NCK.ASX – Sold out of my last holdings of NCK, this was one of my favourite long term holdings. A high quality furniture business that was amazingly run, with high RoE, and constantly underestimated. More recently the market seems to have improved their sentiment around them (new growth story with the UK expansion). I’m not quite so bullish on that front. Think the UK market is much tougher to crack than we give it credit for, I would buy back in on a better valuation. Sold on recent price strength.

Cogstate Ltd – CGS.ASX – The market had run a bit on these guys, and I noted that my initial enthusiasm had faded somewhat. I love what they do, I love what they are trying to do, but the truth is that their model is just incredibly lumpy. Reliant on the number of trials going on, and with capital flows seemingly getting tighter, whilst price kept going up, I felt it was time to get out.