Case Studies


  • Puerto Rico’s Fiscal Woes and Financial Restructuring Our Call: Capstone first wrote in September 2013 that the Commonwealth of Puerto Rico faced significant financial risks given its dependence on federal funding to help finance its operations. In subsequent notes, we highlighted additional risks, including Puerto Rico’s propensity to overspend budgets and the sheer complexity of its capital structure. Our coverage led us […]Learn More
  • Fannie, Freddie, and the Long Path Out of Government Conservatorship Our Call: Since Capstone’s founding, our analysts have covered Fannie Mae (FNMA) and Freddie Mac (FMCC), the two government-sponsored enterprises (GSEs) placed in conservatorship in the height of the 2008 financial crisis. Before President Trump was elected in 2016, Capstone predicted that the new president, regardless of party, would present opportunities for the existing preferred […]Learn More
  • Federal Surprise Medical Bill Reform—Team Health and Envision Our Call: Capstone first wrote in December 2018 that federal surprise medical bill legislation—recently introduced in the US Senate—was likely to garner significant momentum in 2019 and pose a meaningful risk to physician staffing companies, particularly those with emergency department exposure such as Team Health Inc. (TMH) and Envision Healthcare Corp. (EVHC). The policy under […]Learn More
  • Business Opportunities in the Rapidly Growing Climate Adaptation and Resiliency Sector Our Call: Capstone first wrote in January 2020 that the nascent climate adaptation and resiliency sector will experience double-digit growth in the next five years, with sustained multiyear demand cycles. The increase in resiliency spending presents burgeoning opportunities for firms across a growing number of sectors, including the data, flood protection, materials, and engineering, procurement, […]Learn More
  • Capstone Skeptical Toward Deutsche-Commerzbank Merger, Wary on Merits of “National Champion” Our Call: On March 14, 2019, Capstone hosted a series of meetings for clients in Frankfurt to discuss the outlook for the German big bank M&A with regulatory and industry stakeholders. Our conversations focused heavily on banking consolidation and the broad sense of skepticism around the merits of creating a “national champion” given the merger […]Learn More
  • Utility Special Situation—SCANA Our Call: Capstone published that shares of South Carolina utility SCANA (SCG) presented an attractive risk-reward after a significant sell-off in the shares appeared to price in an unlikely worst-case regulatory outcome.  We believed state regulators were likely to punish the company for its mismanagement of the nuclear reactor project, but believed ultimately they would […]Learn More
  • Uber, Lyft, and the Sifting Sand of the Gig Economy’s Labor Model Our Call: Capstone first wrote in July 2019 that the likely passage of California’s Assembly Bill 5—then-pending legislation in the state—posed sizable unappreciated risks to companies that rely on independent contractors. Learn More