Banyak jurus dalam value investing. Salah satunya seperti yang saya baca dari letter to co-investor seorang fund manager. Berikut kutipannya:

"Prosus is a Dutch Internet holding company. I view it primarily as a way to own Tencent, which accounts for 120% of its market value today. I am less enthusiastic about its other businesses, but they do not move the needle individually and barely do collectively.

Tencent is an exceptional business, possibly the best in the world. Whereas most companies are good at one thing and mediocre at everything else, Tencent has multiple great businesses. It has an advertising business that rivals Meta’s, a payments business that rivals Mastercard’s, and a gaming business that is…peerless. These businesses have wide moats individually and an even wider moat collectively as they reinforce each other’s moats through the connective tissue of WeChat.

Tencent is Berkshire Hathaway-like in that its earnings power has multiple drivers. It is also Berkshire Hathaway-like in its capital allocation. It owns an extensive portfolio of listed and unlisted companies, conservatively valued at around $200 billion, and makes new investments on an ongoing basis. If Berkshire’s edge is Warren Buffett, Tencent’s edge is WeChat. WeChat gives Tencent proprietary data on Chinese consumers’ habits and helps it to spot which companies are gaining traction long before everyone else. It is as if Tencent has a Bloomberg terminal, and everyone else uses ticker tape.

Tencent has exploited that data advantage to invest in many, if not most, of China’s best companies when they were startups, including PDD, Meituan and JD. Meta captures similar data and has used it to buy competitors like Instagram and WhatsApp. Tencent did the opposite: it bought minority stakes in companies adjacent to its business and leveraged WeChat to help them succeed. I prefer Tencent's strategy as it is an ongoing source of value creation. Meta, by contrast, can no longer buy peers.

The attraction of owning Prosus rather than Tencent directly is in part the discount – for every dollar you put in Prosus, you get Tencent shares worth 120 cents and 30 cents worth of other assets, implying a discount of 33%. More importantly, it is the value creation from share repurchases. Prosus sells Tencent shares and uses the proceeds to buy back its own shares. The term “buying dollars for 50 cents” tends to get overused in finance, but this is what Prosus at times has been doing. It sells one thing (Tencent) and buys something nearly identical for almost half the price."

Andai buyback suatu saat jadi budaya rutin di Indonesia untuk meningkatkan shareholders' value, jurus ini bisa ditiru oleh kita. It makes more sense now, kenapa LKH berani masuk banyak di $ABMM.

$ADRO $INDF