Sidepocket Trade 12/23/2024

Exciting Infoarb

We have found a clear case of information arbitrage that does not seem to be shared anywhere online: Information on a new contract, tucked away in an SEC filing.

We assume the company could triple its EPS with this new high margin contract, when compared to what it just reported in its most recent quarter. While it’s still early, we expect more contracts from this new product line will materialize.

We believe management will be “forced” to PR the contract at some point before its next quarterly report, due in March.