Hedgie J. Carlo Cannell (Cannell Capital) represented at the Value Investing Congress in Pasadena last week. His speech was called Hydrodamalis Gigas, the name of a sea cow species that was hunted to extinction less than 30 years after it was discovered.
Cannell is not just an investor, he is also a man of nature, and in his speech he compared failed businesses with species of animals which did not survive because of various flaws. I don’t have the text of the entire speech, but Manual of Ideas had a guy live-blogging it…a little Carlo is better than no Carlo, so enjoy!
Extinction and Investing
Example #1: The Steller’s Sea Cow is known as Hydrodamalis Gigas (which is extinct) and is the title of the presentation. Before humans arrived, they ranged along the North Pacific coast. By the middle of the 18th century, they were restricted to the Bering Sea with a population of around 1,500. They were hunted for food, skins, and fat oil and went extinct in just 27 years after being discovered. How does this relate to investing? Sometimes new circumstances come into the equation or investment situation. Some species (companies) can have a more difficult time adapting to a changing environment. For example, a restaurant would have a more difficult time adapting to a slowdown in the economy than an oil/gas company.
About Carlo Cannell
Cannell has 16 years of experience investing in small caps and over 19 years of experience in analysis of technology companies. A graduate of Princeton, he attended New College, Oxford, and studied business at Templeton College. Mr. Cannell, a third generation investment manager, is the Managing Member of Cannell Capital LLC in Jackson, Wyoming.
Source: Manual of Ideas (Cannell Speech)
Full Disclosure: No positions mentioned. My re-post of this speech is in no way an endorsement of any particular investment ideas or strategies. Don’t trade based on anything you read here.