Netflix’s latest results shocked the market. A growth darling suddenly stopped growing and was shedding subscribers. The stock tumbled ~40% on the day and the WHEB team took note. None of the ‘FAANGS’ are within our sustainability-driven investment universe as we do not consider them to be positive impact stocks, but our investment strategy is very much geared towards growth.
One stock came to mind after the Netflix news: HelloFresh, the meal kit provider. It is one of our worst performers so far this year, having shed almost 60% of its peak value since early December – all while still reporting substantial subscriber growth and record revenues. We receive a lot of questions about this holding so we want to remind our investors why we are holding it and despite the painful short-term performance, why we believe it will be a positive contributor to our strategy in the long-term. Read more …