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Ebix 10-K schedule and macro note +3

09:19 09-Mar-21


Ebix also signed the Capital Markets subsidiary of the State Bank of India as the fourth for the EbixCash IPO.  Government support is crucial in India, and this step is a sign of that.  I doubt this will be as market moving as yesterday's news, but the pieces are falling into place even though the process is taking longer than I originally expected. 

On 3/8/21 10:16 AM, Esekla wrote:
The Fed has just extended PPP funding through June, further backing up my macro view.  I was assuming that people were already aware of tomorrow's House vote, which would be the final step in question for spending from Congress.

On the GRoDT side, there's also the introduction of a new natural gas engine from Cummins.  This might be helping WPRT a little this morning, but to me, it's another sign of the narrowing window available to Westport; the new engine is rated at 400 hp and heavy duty engines scale well into the thousands of horse power.  WPRT has regressed since the Amazon news, but both CMI and WPRT would need to trade at half their current prices before I'd even start considering them.

On 3/8/21 9:17 AM, Esekla wrote:
Ebix has announced that it has retained KG Somani as its accounting firm and is targeting April 20th for its 10-K filing.  The auditor appears to be mostly India-specific, and detractors will be able to cite the move as a downgrade from RSM, purely on a size basis.  The plan is to continue with KGS as a statutory auditor even after engaging a top-tier international firm for the EbixCash IPO.  KPMG and EY are still advising in the meantime.  EBIX is only up two percent so far in the pre-market, but the market is often slow to respond on this stock and I remain confident there are more gains to come, despite the volatility and overall risk.

While I'm writing, I'll also document Vimeo extending its Amdocs payment services, though I do not see the event as market-moving.  The continued strength in DOX does, however, highlight the ongoing divergence between mega-cap tech and the rest of the market, GRoDTs not withstanding.  If that can continue, we could still easily make it out of the year without a broader crash.  Other leading indicators, such as housing data and €/$ suddenly dropping below 1.19 are supportive and more important to me than the treasury rate rebound that everyone else is talking about.  Invest carefully.