JMP Strategic Investments · ReValue

Find the gap between
price and value.

A disciplined framework for acquiring established, financially resilient businesses when market price becomes materially disconnected from normalized value.

ReValue is not designed to catch bottoms or buy a stock simply because it has fallen. It asks whether the business is worth owning, whether it can survive the problem, whether the problem is normalizable, and whether a meaningful Value Gap exists before technical price response permits acquisition.

Quality businesses.
Temporarily mispriced.

ReValue is designed to identify established businesses where market price has become disconnected from a reasonable assessment of underlying value.

These dislocations can emerge from temporary earnings weakness, cyclical pressure, changing expectations or company-specific uncertainty. But a falling share price alone does not create an opportunity.

The critical distinction is between a business that is temporarily mispriced and one whose value has genuinely deteriorated.

We assess the quality and resilience of the business, determine whether the problem appears temporary or structural, and estimate normalized value. Only when a meaningful gap exists between price and value do we turn to market behaviour to determine whether and when capital should be deployed.

01
Identify
Find the dislocation.
We look for meaningful price dislocations in established businesses where market expectations may have moved materially away from underlying economics.
02
Underwrite
Test the business.
We assess business quality, financial resilience and survivability, then determine whether the problem appears temporary, recoverable or structurally destructive.
03
Value
Establish the gap.
We estimate normalized economics rather than simply extrapolating current or peak earnings. A sufficient gap between market price and estimated value must exist before an opportunity progresses.
04
Deploy
Wait for permission.
Valuation establishes whether an opportunity deserves capital. Price location and market response help determine when that capital should be committed.
Underlying research sequence
Dislocation · Business · Survival · Problem · Normalized Value · Value Gap · Break · Location · Response · Entry

Value determines whether.
Price determines when.

Fundamental analysis establishes whether a business deserves consideration and whether sufficient valuation asymmetry exists. Market behaviour does not override that conclusion — it is used to govern the timing of participation. Position size and the conditions that would invalidate the thesis are defined before capital is committed.

MISPRICED.

MISPRICED is the ReValue research series. Each note examines a company through the ReValue lens: what the market fears, what the business evidence shows, whether a Value Gap may exist and what would invalidate the thesis.

Research standard
Process before outcome.

ReValue decisions are documented before the outcome is known. Historical development cases are treated as calibration evidence; prospective cases are recorded without rewriting the original thesis after the fact.

Register your interest.

ReValue is being developed as a JMP Strategic Investments research offering. Register your interest to receive launch information and future public MISPRICED research notes.