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Upslope Q4 Letter Highlights Booz Allen and Crown as Conviction Picks After Strong 2025

The letter spotlights two holdings to show how valuation resets shape current positioning.

Overview

  • Upslope reported a +2.0% net return in Q4 and +14.8% for 2025, outpacing the S&P Midcap 400 ETF and the HFRX Equity Hedge Index.
  • Upslope described Booz Allen as a government‑focused technology consultant with roughly 50% of revenue from defense, 15% from intelligence, and 35% from civil agencies.
  • BAH’s valuation fell from nearly 30x EPS to a trough near 14x after the 2024 election, which Upslope attributed to federal cost‑cutting fears.
  • Market data as of January 16 showed Booz Allen at $97.40 with a 12.61% one‑month gain, a 28.41% 52‑week decline, and a $12.0 billion market cap.
  • Upslope highlighted Crown’s 80/20 mix of beverage cans and transit packaging, broad international exposure, valuation near 13x earnings and 8x EBITDA, decade‑low net leverage around 2.5x with share count down about 15% in five years, and risks from FX, volume, commodities, and cyclical transit packaging.