Vaso Corporation (OTCQX: VASO): Up 85% From Entry, and Why My Thinking Has Changed
Trading Below Cash Again, But Half the Business Has Been Sold
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In November, we published a thesis on a profitable healthcare company trading at 71% of cash per share.
Trading at 71% of Cash Per Share, Quality Compounder, Record Backlog Going Into Q4
In February, with the stock up 30%, we revisited after two key catalysts - a divestiture and a GE HealthCare contract extension - landed in rapid succession.
Trading at 91% of Cash Per Share, Up 30%, and the Biggest Risk Just Disappeared
In May, with Q1 in hand and the stock up 64%, I wrote that the thesis had played out as expected but the easy part was over.
Vaso Corporation (OTCQX: VASO) | Up 64% From Entry, First Operational Data Lands
The stock is now $0.26, up roughly 85% from our entry point.
It moved 38% yesterday alone.
On Monday, VASO announced it had completed the sale of NetWolves Network Services to COEO Solutions for $14.5 million in cash.
The market read that as a windfall. I read it as the end of the thesis I originally wrote.
This post is my reasoning why…
That is how coverage works here.
When I open a thesis, I publish it in full. When something material happens, I publish the update, dated, with the price on the day. And when the thesis stops being the thesis, I publish that too, with the reasoning, rather than quietly letting the name fall off the page.
November at $0.14. February at $0.18. May at $0.23. And now this, at $0.26.
Four posts, one company, an 85% move covered from entry through to exit, and one continuous line of argument you can read end to end and hold me to.
Below: what actually left the building, the one number that decides whether this is a leaner business or a hollowed-out one, and where I have landed on the position.
Past performance is not a guide to future results, and not every idea I publish works out.