Home » Top Stories

Radiant Logistics – A Compellingly Priced Growth Compounder [Slides]

Updated on

Get The Full Seth Klarman Series in PDF

Get the entire 10-part series on Seth Klarman in PDF. Save it to your desktop, read it on your tablet, or email to your colleagues.

Friends of our from Buckley Capital have put together the attached presentation on Radiant Logistic. There will be a webcast as well on Monday, February 1stfrom 11:00am – 12:00pm EST:


Radiant Logistics Analysis Webinar

Monday, February 1, 201611:00 AM – 12:00 AM EST



Please join my meeting from your computer, tablet, or smartphone:



You can also dial in using your phone.

Canada (Toll-free): 1-877-777-3281

Canada: +1(647)497-9380


USA (Toll-free): 1-877-309-2070

United States (Long Distance): +1(312) 757-3119


Access Code: 588-438-701


  • Introduction
    -- Buckley Capital Management, LLC (BCM) is a long-biased, deep value-oriented equity fund focused on businesses with consistent long term growth, founded in Jan. 2011
    -- BCM’s objective is first and foremost the preservation of capital, while also producing above-average returns through conservative/heavily discounted equity investing with an open mandate to allow us to exploit market inefficiencies in any industry or market capitalization
    -- BCM manages a limited partnership and separately managed accounts
  • Investment Philosophy Overview
    -- Buckley Capital Partners, LP is a long biased, value and special situation focused long biased equity fund
    -- BCP’s discipline is to only invest in situations with asymmetric risk-reward return characteristics
    -- The fund employs a fundamental approach that is research intensive and concentrated, focused primarily in small cap equities
    • Extensive due diligence and bottom-up research into every investment with periodic physical visits and close links with management
    • Evaluate an investment idea as if buying the entire company, with a focus on buying with a large margin of safety

Investment Philosophy

  • Core Strategy
    -- Focus on transparent, predictable, underfollowed companies at very attractive valuations such as:
    • Owner-operator managers where the CEO is the founder and has the majority of his net worth in the business, thus properly incentivizing him
    • Businesses with a long term track record of compounding at a high growth rate
    • Invest in businesses that are only a small portion of their tangible addressable market (TAM) but could expand to a much larger portion of their market over time, providing a long runway for growth
    • High barriers to entry and high returns on equity, with the ability to profitably reinvest capital
      -- Limited dependence on debt financing
      -- Free optionality from hidden assets

Investment Criteria

  • Conviction comes from a profound understanding of the management team’s incentives and capabilities which is reinforced by frequent physical visits
  • Margin of safety: prefer great investments that are simple and transparent
  • Limited downside supported by high quality businesses with consistent, predictable cash flow generation and manageable debt
    -- Cash and securities on balance sheet
    -- Hidden tangible assets (e.g. stakes in other businesses/real estate)
    -- High free cash flow yield
  • Rapid growth in the intrinsic value of the underlying business
  • Negative sentiment and/or short-term events can cause a fundamental disconnect between price and value
  • Conviction is essential. Should be compelled to buy more if the stock price fell with no change in the business fundamentals

Risk Management

  • Wealth Preserving Portfolio Construction
    -- Little to no leverage
    -- Invest in easy to understand, transparent businesses at great prices
    -- Invest in companies: view investments as owning entire companies, not speculating on stock prices
    -- Focus on asymmetries of returns: look for ‘fat pitch’ situations where probability-weighted risk-reward is heavily in our favor
    -- Concentration: ideally comprised of 10-15 core long positions
    -- Constantly reevaluate every investment: mistakes are inevitable, realizing them quickly and remaining emotionally unattached to securities is extremely important in protecting against capital loss

Radiant Logistics

Radiant Logistics

See full slides below.


Leave a Comment