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I need suggestions


WeiChiLoh
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I am about to participate in a stock pitch competition and I need some ideas! Do you guys have any suggestions?

 

Preferably:

Market Cap, perhaps, $400-$500 million minimum? 

Special situation maybe? Does not have to be a U.S. listed entity.

 

All in all, just an interesting company to analysis.

 

Thanks!

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I've been looking at companies that have been hit because of O&G exposure but are outside the industry.  URI is one of my holdings.  Looking at ACM right now.  They did a big merger last year (bought URS) so there's a lot to analyze.

 

I'm also digging around in US housing and consumer finance.  Seems like the cyclical winds are at their backs so finding an undervalued company gives you lots of ways to win.  I don't have any names right now though.

 

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Remy International - REMY.  Remy provides alternators, starters, and electric and hybrid motors for the heavy-duty and light-duty original equipment markets, as well as new and remanufactured alternators and starters to the aftermarket.  The company was wholly owned by FNFV until 1/2/2015 when FNFV spun out their 51% interest to shareholders.  Trading liquidity is now multiple times higher than before share distribution. 

 

 

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Outerwall ? Relatively simple business, but possible to have a lot of discussion around that one

 

Outerwall seems fun!

 

SHLD and FNMA...kind of a crowded situation.

 

Outerwall is interesting, it screens well...but from a rudimentary reading of the 10K....it sucks.

 

9X FCFF business.

Operating in segments which has tremendous secular headwinds.

Why pay $2 for Blu-ray & $1.50 for DVD, per day per title, when I can pay $8 per month for all the titles I want.

 

Coinstar is also kind of terrible. Shift to digital-based payment media should add pressure to the business.

 

D&A, not including amortization of content library, is ~50% of EBITDA.

 

A fun project.

 

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Is it supposed to be a good investment, or an investment that has lots to talk about?

 

Well. Originality & personally educational.

 

Have you ever noticed that you've learned more from the bad investment ideas than from the good ones?

 

Yup, I agree. But, again. Originality. I dont want to be the 1000th person analyzing HLF. In addition, I dont want to have any preconceptions. If it is a bad investment, I want to learn that through the process and understand why.

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Is it supposed to be a good investment, or an investment that has lots to talk about?

 

Well. Originality & personally educational.

 

Have you ever noticed that you've learned more from the bad investment ideas than from the good ones?

 

Do you have any suggestions? CRMZ looks interesting as a personal project.

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Outerwall ? Relatively simple business, but possible to have a lot of discussion around that one

 

Outerwall seems fun!

 

SHLD and FNMA...kind of a crowded situation.

 

Outerwall is interesting, it screens well...but from a rudimentary reading of the 10K....it sucks.

 

9X FCFF business.

Operating in segments which has tremendous secular headwinds.

Why pay $2 for Blu-ray & $1.50 for DVD, per day per title, when I can pay $8 per month for all the titles I want.

 

Coinstar is also kind of terrible. Shift to digital-based payment media should add pressure to the business.

 

D&A, not including amortization of content library, is ~50% of EBITDA.

 

A fun project.

meeeeeh

http://www.clipartbest.com/cliparts/Kcj/g7R/Kcjg7Rgpi.png

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Outerwall ? Relatively simple business, but possible to have a lot of discussion around that one

 

Outerwall seems fun!

 

SHLD and FNMA...kind of a crowded situation.

 

Outerwall is interesting, it screens well...but from a rudimentary reading of the 10K....it sucks.

 

9X FCFF business.

Operating in segments which has tremendous secular headwinds.

Why pay $2 for Blu-ray & $1.50 for DVD, per day per title, when I can pay $8 per month for all the titles I want.

 

Coinstar is also kind of terrible. Shift to digital-based payment media should add pressure to the business.

 

D&A, not including amortization of content library, is ~50% of EBITDA.

 

A fun project.

meeeeeh

http://www.clipartbest.com/cliparts/Kcj/g7R/Kcjg7Rgpi.png

 

Hahahaha..What? :)

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your analysis is why it is an interesting stock to discuss. You got the FCF  multiple horribly wrong, the coinstar business, the headwinds, and the pricing. Failed to look at what makes redbox unique vs netflix, and failed to look at capex vs D&A.

 

Alright! I will give it a go again. Give me a day.

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your analysis is why it is an interesting stock to discuss. You got the FCF  multiple horribly wrong, the coinstar business, the headwinds, and the pricing. Failed to look at what makes redbox unique vs netflix, and failed to look at capex vs D&A.

 

Alright! I will give it a go again. Give me a day.

 

Winning a competition is more depended on telling what the judges want to hear than bringing in something new. Especially in investing since it might be pointless giving a growth investor a value play. In terms of special situation you can do eBay Paypal spin-off.

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your analysis is why it is an interesting stock to discuss. You got the FCF  multiple horribly wrong, the coinstar business, the headwinds, and the pricing. Failed to look at what makes redbox unique vs netflix, and failed to look at capex vs D&A.

 

I kind of get it now....

 

Redbox has content license agreements with several studios to release titles on the day of retail releases. NFLX does not have this.

 

Did I get it right?

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Problem with Seneca is it might be too boring. My experience with these competitions is everyone likes a catalyst...

 

but at least the accounting is exciting, right?

 

They're really canning that underfunded pension liability!

 

I'll show myself out.

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