We have exited our position in Vusion Group (PA:VU) (formerly named SES Imagotag) , achieving a 185% gain. Our initial position was established in 2021 (link here), with significant additions made in 2023 after an unfounded short report caused the stock to decline by 60%, followed by a strong recovery (link here).
Vusion is a market leader in electronic shelf labels (ESLs), digital price tags that enable retailers to automate price changes across thousands of SKUs. The company is led by highly capable management that has established a dominant position in the industry, securing notable retail clients such as Walmart. ESL adoption is still in its early stages, as more retailers recognize the cost savings and revenue enhancement these systems provide. While the outlook for Vusion’s hardware remains promising, the heavy investments in their software offerings present more uncertainty. Combined with what we consider a fair valuation for the business, we have decided to exit our position. We intend to reinvest the proceeds into potential AI opportunities and will share updates with our readers soon.
INVESTMENT DISCLAIMERS & INVESTMENT RISKS
Past performance is not necessarily indicative of future results. All investments carry significant risk, and it’s important to note that we are not in the business of providing investment advice. All investment decisions of an individual remain the specific responsibility of that individual. There is no guarantee that our research, analysis, and forward-looking price targets will result in profits or that they will not result in a full loss or losses. All investors are advised to fully understand all risks associated with any kind of investing they choose to do.
