I Just Allocated 6% of My Portfolio to This One Stock

Why a monopoly-like business trading at 6.9x earnings caught my attention

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I don’t often move this quickly on an idea.

But last week, I came across something from Multibagger Ideas that made me dig in immediately.

A business with 10-15 year customer lock-in periods.

47.8% gross margins. 18% ROIC.

Government customers who literally cannot switch providers without creating national security vulnerabilities.

And it’s trading at 6.9x forward earnings.

Then it dropped another 20% on earnings that looked terrible on the surface but were actually just a timing issue.

I spent the weekend going through the details.

By Monday, I’d allocated 6% of my portfolio to it.

Here’s the back-of-the-napkin case for why.