George Willis ‘21 pitched Dexcom (NASDAQ: DXCM) on April 19th, 2021. Dexcom is a developer, manufacturer, and distributor of diabetes management systems which allow for continuous glucose monitoring. Diabetes is the 7th leading cause of death in the US and impacts as many as 1 in 3 Americans. Dexcom holds 25% of the addressable market in assisting people living with diabetes in monitoring their glucose levels more effectively and efficiently. The main drivers of George’s pitch were the strong growth opportunities within the addressable market space, the release of new products by Dexcom, and a strong management team where executive compensation is tied to the company achieving its goals. The class voted to buy 75 shares of DXCM at market price and sell 75 shares of SPY at market price on April 19th.
Cody Way ‘21 pitched The Home Depot, Inc. (NYSE: HD) on April 19th, 2021. The Home Depot is an omni-channel retailer of home improvement products and services. The Home Depot is one of the largest retailers in the United States with 2,296 stores and a large e-commerce presence. Cody discussed a strong housing market, favorable macroeconomic trends, and The One Home Depot initiative as some of the key growth drivers of The Home Depot. The class voted to buy 150 shares of HD at market price on April 19th, 2021 and sell 125 shares of SPY at market price on April 19th, 2021.
Kaitlin Ryan ‘21 pitched Williams-Sonoma, Inc. (NYSE: WSM) on April 12th, 2021. Williams-Sonoma headquartered in San Francisco, California, is the world’s largest digital-first design-led, and sustainable home retailer. The WSM brand portfolio includes Williams-Sonoma, Pottery Barn, West Elm, Mark and Graham and others. Williams-Sonoma operates through online platforms as well as through 615 retail stores in the United States and abroad. E-commerce sales accounted for 70% of total revenue. Three key differentiators of Williams-Sonoma include in-house design, the digital-first channel strategy, and the company’s values. In addition, Williams-Sonoma has a clear path to $10 billion in revenues which sets the company apart from its competitors. The class voted to buy 170 shares of WSM at market price and sell 200 shares of MCD.
Jillian Clements ‘21 pitched Chipotle Mexican Grill, Inc. (NYSE: CMG) on April 5th, 2021. Chipotle operates and develops fast-casual Mexican restaurants throughout the United States, Canada, and parts of Europe. Jillian discussed Chipotle’s strong digital platform, growing customer loyalty program, international expansion, and new menu innovation as some of the key growth drivers of Chipotle. The class voted to purchase 25 shares of CMG at the market price on April 5th, 2021 and sell 265 shares of WELL at the market price on April 5th, 2021, and fund the remainder with SPY at the market price on April 5th, 2021.
Shelby Umbarger ‘21 pitched The Progressive Corporation (NYSE:PGR) on March 29th, 2021. Progressive was founded in 1937 and is headquartered in Mayfield, Ohio. The company is the third largest auto-insurance company in the United States. Progressive Corporation operates in three segments: Personal, Commercial, and Property Lines, with the majority of Progressive’s revenue coming from Personal Lines. Progressive’s competitive advantages include Snapshot by Progressive and the Name Your Price Tool. Progressive’s strong management team, focus on advertising to build brand recognition and market share, and diversification from current SMIF holdings makes Progressive a buy for the portfolio. The class voted to buy 355 shares of PGR at market price, sell 195 shares of GILD, and sell 275 shares of XLB.
Emily Spitz ‘21 pitched NIKE, Inc. (NYSE: NKE) on March 29th, 2021. Nike is the largest athletic footwear and apparel company in the world. Nike sells products through wholesale retailers as well as through Direct-to-Consumer which includes Nike mono-brand stores and online platforms. In fiscal year 2020, about 39% of Nike’s revenue came from United State’s sales, and 61% of revenue came from international sales. The Consumer Direct Offense and Consumer Direct Acceleration strategies aim to better understand consumers and strengthen Direct-to-Consumer sales. Nike value drivers include increasing digital sales to 50% of total revenue, increasing market share opportunities in China and the women’s business, and continued strong athletic endorsements fueled by the return to organized sports. The class voted to buy 265 shares of NKE at market price, sell 100 shares of BABA, and sell 30 shares of SPY.
Paige Lawton ‘21 pitched FedEx Corporation (NYSE: FDX) on March 22nd, 2021. FedEx is a delivery service company headquartered in Memphis, Tennessee. It is the largest air express company and the second largest ground package transportation within the United States. Paige discussed the large need for FedEx services with the growing e-commerce market, a unique strategy operating all of their business markets separately, and a strong rebound in the BTB market post-pandemic as the key growth drivers of FedEx. The class voted to purchase 135 shares of FDX, sell 100 shares of FCN, and sell 65 shares of LMT.
On March 15th, Molly Paine pitched Nvidia Corporation (NASDAQ: NVDA) to the SMIF class. Nvidia corporation is a semiconductor devices company that designs, markets, and sells semiconductor products. Their industry leading graphics processors are used across various applications including PC gaming, artificial intelligence enterprises, autonomous driving platforms, robotics, medical imaging, and many others. Going forward, Nvidia is expanding their AI and data center platforms through the release of new products such as Nvidia AI Enterprise and the acquisition of Arm from Softbank. They are also expanding into cryptocurrency mining and see a tremendous growth area in their autonomous driving platform. The class approved the pitch and voted to buy 125 shares of NVDA, sell 100 shares of XLK, sell 40 shares of ADBE, sell 180 shares of APPL, sell 30 shares of SPY, and sell a June 18th, $500 call on 100 shares of NVDA.