2015 is shaping up to be an incredibly challenging year for Zillow. The ground is shifting rapidly in the residential real estate space as legacy brokerage firms and media companies (think News...
READ MORE >This morning Trulia filed its 2014 10-K. As you might remember, on the conference call discussing Zillow’s 4Q14 earnings and the closing of the acquisition management was unwilling to provide much detail on Trulia’s 4Q14 financial...
READ MORE >As long time followers of PAA Research know, we have a fair amount of experience dealing with heavily shorted stocks. This is not our first rodeo with a stock that experiences a vicious rally that seems to have been...
READ MORE >We are closing out our TRLA short idea with a (-62.3%) loss following the company's acquisition by Zillow. Many, if not most elements of our short thesis on TRLA did indeed play out: in almost every way the...
READ MORE >“So hold on tight, with all your might… Cause MC's [market caps] crumble when we rumble… Cause in this battle, I’m takin no prisoners, I’m slayin MC's right on the...
READ MORE >Approximately 6-months ago we introduced ZU as a short idea. At that time our thesis was as follows: Zulily’s TAM is HUGELY overstated. Bulls make the case that the markets in which Zulily participates generated...
READ MORE >“I’m wide awake. I’m wide awake. Wide awake. I’m not sleeping. Oh, no, no, no….. If I could, you know I would. If I could, I would. Let it go….” U2, “Bad”, The Unforgettable Fire In this wonderful song...
READ MORE >“We operate a minimal inventory, intermediary model where we typically take customer orders before we purchase inventory from our vendors”- ZU S-1 filing 11/13/13Much like NILE...
READ MORE >“That was a mistake….Look deep, Josh. It’s there. It’s moves away, but it’s there. You’ve got him….. Don’t move until you see it.” Ben Kingsley, Searching for Bobby...
READ MORE >Approximately two months ago we introduced ZU as a short idea. As a reminder here’s the original elements of our short thesis:Cracks have started to emerge recently, but we think revenue, gross margin, and profitability...
READ MORE >“…the long-term opportunity for Rentals, we look at competitors in the rental space kind of pure play what they call ILSs or Internet Listing Sites, Internet Listing Services and we see a couple...
READ MORE >Approximately two months ago we published a report backed by a review of more than 2,000 listings in 50+ markets on Zillow (“Z: Look at the Listings, the Zillow Ecosystem Might Not Be What You...
READ MORE >“We offer consumers a very different way to shop. Its a much better experience than they get in a store environment, I will take you through that today. But, what consumers are getting is a much...
READ MORE >Now it’s starting to make sense. Now we understand why Zillow agreed to pay $3.5B for a company which by almost every measure is 2nd or 3rd rate in the listings aggregation space. Now we are...
READ MORE >We recognize that there are rumors in the market that Zillow could be in talks to acquire Trulia. We will have more extensive comments shortly, but we wanted to provide you with some insight on what the agent community...
READ MORE >“You can observe a lot by watching”- Yogi BerraAs Zillow shares climb to levels we previously never thought possible (amazingly in the absence of any material new news) we have spent...
READ MORE >“Oracle is focused, focused like a laser on one goal over the next few years: becoming the number one company in Cloud computing's two most profitable segments: software-as-a-service, SaaS; and platform-as-a-service, PaaS.” · Larry...
READ MORE >It would be easy for us to simply dismiss PCLN’s proposed acquisition of OPEN for $103/share as an irrational bid and nothing more than another chilling sign of Internet bubble 2.0, but in no way would that approach improve our...
READ MORE >Yesterday we had the opportunity to tour the floor at the National Restaurant Association’s 2014 annual conference. We wanted to pass along some key observations from our time in the exhibit hall. As you might imagine given our...
READ MORE >Was it good enough? Time and time again that was the question we were attempting to answer in our conversations with investors after Zillow reported 1Q14 results and provided initial 2Q14 guidance yesterday. The trading action after hours...
READ MORE >In what surely has become an alarming trend for bulls on the stock, OPEN MISSED consensus revenue expectations for the fourth time in five quarters. We cannot think of another situation where a growth company so consistently fell...
READ MORE >For the past 6-9 months we’ve been screaming from the mountain tops (or this molehill depending on your perspective) that much of MCRS’s recent revenue growth has been largely a function of...
READ MORE >Make no mistake, TRLA is a stock that trades ENTIRELY off of operating metrics and relative valuation. For now, there are enough investors willing to value the company off price/revenue multiples so long as TRLA delivers...
READ MORE >In the context of what has transpired in the broader Internet space over the past two weeks, Zillow shareholders have to be feeling pretty good about themselves, or at the very least quite fortunate. After all, the 8-10% sell-off in Z...
READ MORE >Stasis is MCRS’s best asset. That’s our grand takeaway from the company’s investor day. Otherwise, we can’t help but wonder how bulls on the stock feel about the company’s growth prospects and management team. Those who were...
READ MORE >Well, now we know why…. In early December, TRLA announced a convertible notes offering which was eventually upsized to $200 million. The notes convert at $35.93/share, or roughly 2% below where TRLA shares closed yesterday. The timing of the notes offering...
READ MORE >It all sounds so intoxicating doesn’t it? To company management (and presumably bulls on the stock) Trulia is a leading rapidly growing mobile based residential real estate search platform integrated with a cloud based CRM system. How many investor...
READ MORE >Approximately three months ago we postulated that OPEN’s EPS in FY14 could actually be flat on a YOY basis. At that time, and at every point up until the company’s earnings release yesterday...
READ MORE >As we approach year end it seems like a natural process for most investors to evaluate what they got right and what they were wrong about over the past 12-months. We are no different. While...
READ MORE >North American diners seated per restaurant is for OPEN shareholders “the one metric to rule them all” as far as stock price action is concerned. In 2012 when diners seated per restaurant in North America slowed, OPEN shares struggled...
READ MORE >SELL/SHORT
$4
SELL
$50
SELL/SHORT
$45
SHORT
$18
SELL/SHORT
$5
SELL/SHORT
$42
LONG
$75
LONG
$128
SELL/SHORT
$50
SELL/SHORT
$50
LONG
$5.50
SHORT
$50
SHORT
$28
LONG
$65
LONG
$37
PAIR TRADE
$10
PAIR TRADE
$30
LONG
$35
SHORT
$35
SELL/SHORT
$10
SHORT
$101
SHORT
$15
SHORT
$0
SHORT
$9
SHORT
$0
PAIR - LONG BGG/SHORT TTC
25%
PAIR - LONG BGG/SHORT TTC
25%
SHORT
$14.00
SHORT
$22
SHORT
$15
SHORT
$20
SHORT
$31
SHORT
$35
SHORT
$30
PAIR - LONG KNL/SHORT MLHR
25%
SHORT
$100
LONG
$8
LONG
$20
SHORT
$22
PAIR - LONG CSGP/SHORT LOOP
40%
LONG
$35
SHORT
$275
SHORT
$0