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Richard L. Chilton Jr.: A Private Equity Approach to Investing in High-Quality Stocks

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Jacob Wolinsky
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Richard L. Chilton, Jr.'s notes from the 2019 Value Invest New York Conference. Richard is the founder, Chairman, CEO & CIO of Chilton Investment Company.

Q3 2019 hedge fund letters, conferences and more

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Richard L. Chilton Jr.: A Private Equity Approach to Investing in High-Quality Stocks

Pitch: Union Pacific

  • Trades at 11.4 p/e on 2024 b/c of cost cutting versus current p/e of 20x and 5% fcf yield
  • Not a cyclical as people think; only 2 lines that go east west and they operate in a oligopoly with pricing power
  • FCF since 2000 has compounded at 15%
  • Even in years when volume go down...

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Jacob Wolinsky is the ex-Founder of Valuewalk.com (founded 2011, sold 2023). He is founder of HedgeFundAlpha (formerly ValueWalk Premium), a hedge fund focused intelligence service for institutional investors. Prior to founding Valuewalk, Jacob worked as an equity analyst covering small caps, a micro-cap analyst, doing member development a large hedge fund community and freelance financial writing. Jacob lives with his wife and five kids in Passaic NJ. - Email: jacob(at)hedgefundalpha.com. For confidential inquires email me for my Signal id. Other methods of secure communication are also available. FD: I almost exclusively avoid the purchase of equities to avoid conflict of interest and any insider information. I only purchase broad-based ETFs and mutual funds. I will disclsoe if I have a stake in any company, but in general avoid