Brodie Hinkle, a senior at the University of Oklahoma, is a contributor to the Acquirer’s Multiple. Brodie is a double major of finance and energy management. He will be periodically writing opinionated articles about individual companies that show up on the stock screeners. If you’d like to contribute an article, please … Read More
Returns to The Acquirer’s Multiple® Screeners and This Week’s Best Value Stock
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Micron Technology, Inc. ($MU): Cheap and a Takeover Target
I love it when I get the chance to write about a high-profile stock, particularly when it’s owned by David Einhorn–one of the smartest guys around–and it’s dirt cheap. Poor old Micron Technology, Inc. ($MU). I’ve bought and sold it so many times over the last decade. It was a net net in … Read More
Applying Deep Value Investing with The Investors Podcast
I had great fun chatting to Stig Brodersen about deep value investing and the acquirer’s multiple. We cover a lot of ground. Get a free list of deep value stocks likely to be targets on The Acquirer’s Multiple. Buy my book Deep Value: Why Activist Investors and Other Contrarians Battle for … Read More
A Superior Valuation Metric: Enterprise Value (EV) to EBITDA | Wall Street Daily
Interesting post out of Wall Street Daily on the efficacy of the acquirer’s multiple by Alan Gula, CFA: The price-to-earnings (P/E) ratio is perhaps the most popular valuation metric used by investors. Pull up any finance website stock quote page, and you’ll find the P/E ratio neatly calculated for you. … Read More
LG Display Co Ltd. (ADR) Trading Below Break-Up Value $LPL
LG Display Co Ltd. (ADR) $LPL is another super cheap company in the All Investable Screener offering substantial upside. The stock has been beaten up over the last twelve months, falling almost 50 percent from its 52-week high of $18.43. At its $9.64 price at the time of writing, the stock … Read More
Contributor Analysis: Western Refining Inc. (WNR)
Brodie Hinkle, a senior at the University of Oklahoma, is a contributor to the Acquirer’s Multiple. Brodie is a double major of finance and energy management. He will be periodically writing opinionated articles about individual companies that show up on the stock screeners. If you’d like to contribute an article, please … Read More
Valero Energy Corporation, Does Buffett Buying Phillips 66 Make A Bigger Bargain $VLO
At $61.69, Valero Energy Corporation (NYSE:VLO) is a particularly cheap large capitalization stock, trading on an acquirer’s multiple of 4.68x. It’s market capitalization is $30.8 billion, and its net debt position at $2.1 billion gives it an enterprise value of $33.0 billion. In the last twelve months it generated operating income … Read More
Hurco Companies, Inc. Cheap, cash-rich and the potential for growth $HURC
Hurco Companies, Inc. (HURC) is an interesting stock in the All Investable Screener. With a market capitalization of just $196 million it is one of the smaller stocks in that screener, but its $62 million in net cash makes its enterprise value even smaller again at $134 million. Operating earnings … Read More
Guest Post: National Oilwell Varco ($NOV) Analysis
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Christopher & Banks Corporation Cheap, but as ugly as it gets $CBK
Christopher & Banks Corporation (NYSE:CBK) is another cheap, scary stock in the Small and Micro Cap Screener. With a market capitalization of $65 million, net cash of $36 million and operating earnings of $8 million over the last twelve months, CBK trades on an acquirer’s multiple of 3.73x, and a … Read More
Guest Post: Valero Energy Corporation $VLO
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Kulicke and Soffa Industries, Inc. (NASDAQ:KLIC): Strong, cash-rich balance sheet and a buyback
If you were anywhere near finance twitter or television this week you’re aware that the markets are having a tough run at the moment. I’m trying to contain my excitement. Down 6 percent is really nothing. It only looks frightening because the markets have been so subdued for so long. … Read More
Apollo Education Group, Inc. (NASDAQ:APOL): Cheap and Nasty
Apollo Education Group, Inc. (NASDAQ:APOL) is one of those stocks that tests the patience of value investors. Like the rest of the for-profit education industry, it’s been in a tail spin for years. The problems are well known: For-profit educators exploited the torrent of government money available for higher education and loaded students … Read More
Greenblatt and Asness on Periods of Underperformance for Value
Fascinating note from Forbes on the underperformance of Joel Greenblatt’s mutual funds that implement the Magic Formula: [I]nstead of trying to paint Gotham’s year-to-date returns as indicative of any obvious flaw in strategy, it’s likely a far stronger data point to use as a read on the overall market. Its … Read More
A Lesson in Portfolio Construction: “One Good Icahn Energy Bet Undoes Several Years of Bad Calls” – Bloomberg @Business
Oil’s crash would have been every bit as cruel to Carl Icahn as it was to other investors, except the billionaire had a very important ace in the hole: a little-known refiner and fertilizer maker based in Sugar Land, Texas. Icahn’s 2012 purchase of CVR Energy Inc. has returned more than … Read More
Perion Network Ltd. ($PERI): Cheap, cash rich, and generating cash
Big changes in the composition of the screeners this week, giving us lots of exciting new stocks to dig into. While the indexes only declined a few points, under the surface the waters are roiling, with big declines from many stocks. Earnings season has also shaken up the fundamental picture. AU … Read More
The Icahn Strategy
From Icahn Enterprises L.P. December 2013 Investor Presentation: Across all of our businesses, our success is based on a simple formula: we seek to find undervalued companies in the Graham & Dodd tradition, a methodology for valuing stocks that primarily looks for deeply depressed prices. However, while the typical Graham … Read More
Valero Energy Corporation ($VLO): Cheap, safe and running
Valero Energy Corporation ($VLO), which at one point was the cheapest stock in the Large Cap 1000 Screener and the All Investable Screener, is having a blockbuster year, up 33 percent to date (I’ve been pitching it since September last year, here with Jeff Macke on Yahoo Finance). Even so, … Read More