Monthly Portfolio Update - Small-Cap Portfolio Hits New ATH
A rather positive month despite the market turmoil
April’s market crash has been a challenging test for most investors. While my large-cap portfolio performed in line with the broader market (on a constant currency basis), offering no surprises, my small-cap portfolio stood out. It not only held its ground during the turmoil but also rebounded strongly, reaching a new all-time high. More importantly, it is now outperforming the S&P 500 by over 12% YTD and by nearly 22% since inception.
If you are curious or missed out, you can find my method here and how to react in case anything bad happens here.
In this section, I present a transparent monthly update of my portfolio. It adheres to my investment strategy. This presentation is divided into several parts:
Global view of the portfolio’s valuation and metrics
For dividend enthusiasts, a presentation of the Projected Annual Dividend Income (PADI) and a monthly calendar
Sector and geographical breakdown
My positions, fair price, price targets and moves
Overall performance
Large-cap portfolio
I am not entirely satisfied with the performance of my large-cap portfolio. In constant currency terms, its YTD return is roughly in line with the S&P 500, at around -5.5%. However, since I report in euros, the EUR/USD exchange rate has significantly eroded my results.
Several holdings have also underperformed. While I intend to review them individually, I remain convinced that the market is currently driven by short-term sentiment. That said, I am mindful that conviction should not turn into stubbornness. For this reason, I am avoiding the temptation to double down on falling positions without clear justification.
Small-cap portfolio
A new all-time high, strong resilience amid market turbulence, and multiple standout picks delivering impressive returns, this small-cap portfolio is proving to be a remarkable success.
Looking ahead, I will maintain a disciplined approach centered on rigorous stock selection and prudent money management, aiming to sustain this exceptional outperformance (+12% YTD vs. S&P 500).
Valuation and metrics
My portfolio’s key metrics continued to evolve this month (weighted average)
Past growth: 20.0% —> 20.3% / Estimated future growth: 13.5% —> 13.4%
Estimated EPS growth: 15.7% —> 16.2%
Net profit margin: 29.0% —> 27.9%
ROE: 39.5% —> 39.2% / ROIC: 25.3% —> 24.5%
Debt leverage: -0.66x —> -0.63x EBITDA (so increased average net cash position)
PE: 28.3x —> 27.1x / PE Y+2: 20.4x —> 19.5x
FCF yield: 4.17% —> 4.49% / FCF yield Y+2: 6.20% —> 6.67%
Dividend yield: 1.30% —> 1.36%
Dividend growth: 8.8% —> 8.7%
Buybacks: 0.78% —> 0.82%
Expected TSR: 14.0% —> 14.0%
Published articles in April
I have revamped the newsletter at the beginning of the year for a clearer, more structured format. You can now explore new categories right on my homepage.
Here are the different articles I have published:
Stock market news
Research and analysis
Investment knowledge
Stock spotlight
New stock ideas
My portfolio
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