FMI International Fund (FMIJX)

Sunday

8:39 PM

ThesisThe recent strategic pivot towards ESG investments and strong performance metrics have shifted investor sentiment positively, indicating potential for recovery.

Revenue Outlook

Metric	FY2021	FY2022
Revenue	$3.8B	$4.1B
Rev. Growth	+14.0%	+8.7%
EPS	$2.58	$2.28
EPS Growth	-8.8%	-11.6%
P/E	14.9×	16.9×

What’s Driving the Stock

01Recent strategic pivot towards ESG-focused funds has attracted $500M in new AUM over the past quarter.
02Performance fees are expected to rise by 15% YoY as the fund outperforms its benchmark in the current market environment.
03Increased investor interest in alternative investments could lead to a 20% increase in AUM over the next year.
04Sustainable investing and ESG integration
05Digital transformation in asset management
06Fluctuations in AUM driven by market performance and investor inflows
07Changes in management fee structures or performance fees
08Regulatory changes impacting asset management practices

FY2022 Snapshot

Revenue: $4.1B
Rev. Growth: +8.7%
Gross Margin: 12.1%
Op. Margin: 4.2%
Net Margin: 2.5%
Net Income: $103M
NI Growth: -12.8%
EPS: $2.28
1Y Return: +11.2%

My Notes

"Management noted, 'Our focus on sustainable investing is resonating with clients, leading to significant inflows.'"
Moat: FMIJX's competitive advantage lies in its specialized investment strategies and strong client relationships…
value - Investors may be attracted to FMIJX for its potential recovery and turnaround strategies given its current low valuation metrics.
Rising interest rates can lead to increased management fees on fixed income products, but may also dampen equity market performance…
Watch on earnings: AUM growth rate, Performance fee percentage, Net inflows/outflows.

One Sentence Summary:

FMI International Fund: the setup is constructive — recent strategic pivot towards esg-focused funds has attracted $500m in new aum over the past quarter.

Auto-composed from Stock Alarm intelligence, financial statements, and analyst estimates. Not investment advice.

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