see below

More ... latest change: 2024-11-22

Blue Orca is Short Baldwin Insurance Group, Inc. (NASDAQ: BWIN)

We are short Baldwin Insurance Group, Inc. (“Baldwin” or the “Company”), a chronically unprofitable rollup of insurance distributors which we believe engages in questionable financial engineering to hide costs from its income statement and inflate adjusted EBITDA and operating cash flow.

Our diligence has uncovered multiple instances in which Baldwin has acquired small insurance firms of agents that, according to state records, were already working for Baldwin before the time of the acquisition. We believe that Baldwin’s acquisitions amount to aggressive financial engineering, allowing it to shift commission costs from its income statement to the balance sheet in the form of earnout liabilities and capitalized assets, thus artificially inflating adjusted EBITDA and operating cash flow.