Valeo is an auto-part manufacturer and seller. Its ticker is FR, don't ask me why. It has had tough few years with revenues slowly declining but it has been hovering at a nice EV/FCF for some time, less than 10x and a forward PE of 7-8. It also has had encouraging last few quarters. Still, it is rather heavily shorted with at least (institutional disclosure) 15% of shares sold.
Now, you've guessed it, it is pivoting into AI. But this somehow makes sense as it will be adapting is car liquid cooling technologies to data-centers. In addition, this comes with a first contract of 225M€. This corresponds to 1% of its total revenues so the stock is obviously already sky-rocketing.
Here is the relevant picture, pay attention to the vertical line on the right:
https://preview.redd.it/fja7cvofj25h1.png?width=1168&format=png&auto=webp&s=afd115143430834bf170bd9ebcc9ea5e441742bc
For the uneducated ones, "Cours" means stock price, the black line and "Capital vendu" means equity sold, the colorful mountains. I felt like writing a long post but I need to work.
Positions : 100 19/06 calls at 16, might buy more once other positions clear