Reverse-Engineer the Best Companies Before Your Coffee Gets Cold
Day traders study charts. Business builders study companies. Guess which one builds wealth?
Nerd Out on Business is your daily 5-minute breakdown of real companies. Real tactics you can swipe today.
Archive
A Business Worth 14x EBITDA ($4.5 billion)
Envestnet gives financial advisors billing, planning, and rebalancing tools that are tough to replace. They also have a unique pricing lever where the majority of their revenue comes from asset-based fees, which enables them to grow as assets and markets increase. They were acquired by Bain Capital for $4.5 billion.
Lincoln Tech: Growing Fast, Still Grading Low on Outcomes
At this for-profit trades school, revenue is climbing and gross margins are near 60% , yet student ROI data tells a murkier story. Lessons to be learned around marketing and partnerships for Lincoln Tech. But I can't help but think that AI disruption is right around the corner.
Bread, Brands, and Debt
Flowers Foods controls some of America’s best-known bread labels (Nature’s Own, Dave’s Killer Bread, Wonder) the largest distribution network in the industry. But behind the strong shelf presence, revenue has flatlined and debt has surged with the Simple Mills acquisition.
Frontdoor: A Home Warranty Business That Runs on Renewals
With 78% of revenue coming from contract renewals, Frontdoor shows how to build predictability into a messy service business. The acquisition of 2-10 HBW adds builder distribution, but it also stacked up $600M+ in debt that must be managed carefully.