Contrarian Corpus

177 documents showing 121–177

Greenlight Capital 2015-11-16

CONSOL Energy CNX

Market prices CONSOL as a dying coal miner, but its Marcellus/Utica shale gas acreage plus disciplined management make it worth $35.81/share versus $7.40 today.

N5 V3 C3
Elliott Management 2015-11-16

American Capital Ltd. ACAS

ACAS trades at 71% of NAV vs 115% peer median — chronic discount since 2008

N4 V4 C4
Pershing Square 2015-10-30

Valeant Pharmaceuticals International VRX

Citron's 'next Enron' channel-stuffing claim is verifiably false; Philidor accounting is conservative

N4 V3 C2
Pershing Square 2015-10-30

Valeant Pharmaceuticals International VRX

Citron's 'next Enron' channel-stuffing claim is verifiably false; Philidor accounting is conservative

N5 V3 C3
Trian Partners 2015-10-05

General Electric GE

GE has quietly pivoted to a focused industrial post-GE Capital exit; executing 16% margins, prudent leverage and ~$100bn of buybacks gets the stock to $40-$45 by end-2017.

N4 V3 C2
Starboard Value 2015-09-30

Advance Auto Parts AAP

AAP trails O'Reilly and AutoZone by 800-900bps in EBITDA margins; closing the gap plus Worldpac monetization, buybacks, and multiple rerating drives AAP from $171 to over $350.

N4 V3 C3
Carl Icahn 2015-08-01

Icahn Enterprises L.P. (self) IEP

IEP stock returned 1,426% since Jan 2000 vs. 89% for S&P 500

N2 V3 C2
Pershing Square 2015-05-04

Valeant Pharmaceuticals International VRX

Platform companies are undervalued because P/E ignores value from future acquisitions

N5 V4 C4
Pershing Square 2015-05-01

Valeant Pharmaceuticals International VRX

Traditional P/E ignores Valeant's 'Platform Value' from disciplined M&A capital allocation

N4 V3 C3
Pershing Square 2015-04-28

Multiple (portfolio update: AGN, VRX, CP, APD, ZTS, HHC, QSR, PAH, FNMA/FMCC, HLF)

Allergan delivered 89% return as Valeant bid catalyzed auction ending at Actavis $242 vs. $128 cost

N3 V3 C2
Greenlight Capital 2015-04-07

AerCap Holdings AER

AerCap, the largest independent aircraft lessor, trades at 8.5x earnings; the equity should rerate as the credit markets already have post-ILFC deal, supported by low-teens ROE and ~10% EPS CAGR.

N4 V3 C3
Land & Buildings 2015-03-20

MGM Resorts International MGM

Land and Buildings will file its own proxy at MGM after the board rejected its four nominees, arguing a $1.5bn post-pitch rally proves shareholders back its real-estate-unlock plan.

N2 V1 C1
Land & Buildings 2015-03-17

MGM Resorts International MGM

MGM's US real estate is buried inside a 10x-EBITDA C-corp; a REIT conversion plus lodging-C-corp spin and MGM China dividend can lift NAV from $33 to $55 per share.

N4 V2 C1
Muddy Waters 2015-02-17

Bolloré SA BOL FP

Bolloré's Breton-Pulleys circular ownership masks that public float is 42.8% not 24.3%; at €4.37 shares trade at 41% of €10.63 NAV — 95% upside to €8.50.

N5 V2 C2
Sandell 2015-02-01

Brookdale Senior Living Inc. BKD

BKD trades at a wide discount because its owned real estate is buried inside an OpCo; a tax-free PropCo/OpCo REIT spin plus governance overhaul unlocks ~$49/share.

N4 V3 C3
Pershing Square 2015-01-29

Multiple (PSH portfolio: AGN, HLF short, APD, CP, QSR/BKW, PAH, ZTS, HHC, FNMA/FMCC)

Concentrated activist strategy delivered 40.4% net returns in 2014 vs. 13.7% for S&P 500

N3 V3 C3
Sandell 2014-11-01

TransCanada Corp TRP

TransCanada is an undervalued conglomerate; spinning off Energy and doing an all-in dropdown into TCP — Spectra-style — re-rates the parts to roughly $75/share.

N4 V4 C4
Marcato 2014-11-01

Dillard's, Inc. DDS

Dillard's trades at 6.2x EBITDA despite owning ~50mm sq. ft. of real estate; separating into OpCo/PropCo as peers have done implies ~$193/share vs. $109.

N3 V3 C3
Corvex 2014-10-14

Crown Castle International Corp. CCI

Crown Castle is a U.S. tower REIT 'betwixt and between' — raising the 2015 dividend to $4.00 (80% AFFO payout) re-rates the stock to a 4.0% yield, unlocking 27% near-term and 60%+ upside in 15 months.

N4 V3 C3
Starboard Value 2014-09-11

Darden Restaurants, Inc. DRI

Darden's brands and real estate are worth $67-$86/share vs. $48 today — replace the entire board to execute the Brinker playbook: operational turnaround, real-estate separation, SRG spin-off.

N5 V3 C3
Pershing Square 2014-05-05

Fannie Mae & Freddie Mac FNMA / FMCC

Reformed GSEs worth $23-$47/share vs $3.98 today — 6x to 12x upside

N4 V4 C3
Starboard Value 2014-03-31

Darden Restaurants, Inc. DRI

Darden is rushing a value-destructive Red Lobster spin-off; a Special Meeting can halt it and unlock $1-2B of real estate and operational upside instead.

N4 V3 C3
Elliott Management 2014-03-11

Riverbed Technology RVBD

$21 cash bid is a 43% premium, exceeding median tech-deal premia across comparables

N3 V4 C3
Elliott Management 2014-01-13

Juniper Networks JNPR

Juniper underperformed NASDAQ by 104% over 3 years — value destruction is avoidable

N5 V4 C4
Sandell 2013-09-01

Bob Evans Farms, Inc. BOBE

Bob Evans trades at a conglomerate discount; spinning BEF Foods, monetizing 482 owned restaurants via sale-leaseback, and tendering at $58 unlocks ~$78.50/share.

N4 V3 C3
Muddy Waters 2013-08-01

American Tower AMT

AMT's international growth is a de facto lending / FX carry trade masking deteriorating economics, and ~$250M appears to have vanished from its Site Sharing acquisition.

N4 V1 C1
Oasis Management 2013-06-06

Nintendo Co., Ltd. 7974.T

Nintendo trades at 0.9x book with 67% of market cap in net cash; publishing Mario and Pokémon on iOS/Android unlocks freemium upside of 97-240%.

N5 V3 C3
Relational Investors 2013-03-01

The Timken Company TKR

Timken's bearings-plus-steel conglomerate masks value; separating the two pure-plays unlocks 29% upside to $68 and ends Timken-family board capture entrenching the status quo.

N4 V3 C2
Greenlight Capital 2013-02-21

Apple Inc. AAPL

Apple's $137B idle cash depresses its P/E; distribute 'iPrefs' — tax-free perpetual preferred stock paying 4% — to unlock ~$150/share without spending a dollar of cash.

N5 V3 C3
Muddy Waters 2012-11-27

Olam International Ltd. SGX:O32

Olam is an Enron-style agri trader whose aggressive non-cash accounting, off-the-rails CapEx binge, and 9.3x leverage mask a failing trading business — equity likely worthless, bonds 14-33¢.

N5 V2 C1
Trian Partners 2012-11-07

Danone BN.PA

Danone is a world-class health-focused food company trading at trough multiples and a 1.5x P/E discount to Nestle; rerating to historic levels implies ~€78 vs €48, +62% upside by 2014.

N3 V3 C3
Corvex 2012-10-24

ADT Corporation ADT

ADT is drastically under-levered post-Tyco spin; levering to 3.0x EBITDA and repurchasing ~30% of the float delivers ~44% upside to a $55 target.

N4 V3 C3
ValueAct 2012-10-01

Multiple (ValueAct portfolio: Moody's, CBRE, Motorola Solutions, Adobe, Halliburton, Autodesk, Gardner Denver, Sara Lee, Verisign, CR Bard)

ValueAct's edge is concentrated, board-level positions in differentiated, recurring-revenue businesses — picking quality and avoiding leverage, complexity and bad governance.

N4 V2 C2
Sandell 2012-10-01

TPC Group Inc. TPCG

TPC Group's $40/share take-private by First Reserve/SK Capital is a self-dealt, low-balled sale; a proper auction plus MLP re-rating would deliver materially higher value to shareholders.

N4 V2 C2
Marcato 2012-10-01

Alexander & Baldwin (ALEX); GenCorp (GY); Brookfield Residential Properties (BRP)

Three stocks — ALEX, GenCorp, Brookfield Residential — hide land assets on their balance sheets at decades-old cost, offering 46-286% upside once marked to market.

N3 V3 C2
Trian Partners 2012-06-18

Lazard Ltd LAZ

Lazard's premier advisory and asset-management franchise trades at a discount; executing the April 2012 plan to 25%+ margins, disciplined capital return, and stronger governance can nearly double the stock to ~$51.

N4 V3 C3
Pershing Square 2012-05-16

J.C. Penney Company, Inc. JCP

Ron Johnson (Target, Apple Retail) can repeat his retail magic at chronically mismanaged JCP

N5 V4 C4
Pershing Square 2012-04-04

Burger King Worldwide Holdings BKW

Back best-in-class 3G management team retaining 70%+ equity

N3 V2 C2
Sandell 2011-12-01

Tronox Incorporated TROX

Post-Exxaro Tronox is the lowest-cost, fully-integrated TiO2 producer; levering up for a $24-$43/share special dividend plus relisting unlocks $183-$194/share, 56-66% upside.

N3 V2 C2
Pershing Square 2011-11-08

Lowe's Companies, Inc. LOW

LOW trades at 13.3x depressed EPS with ~8% FCF yield — cheap

N3 V3 C2
Pershing Square 2011-10-18

Fortune Brands Home & Security FBHS

Orphaned post-spin-off stock — recovery optionality mispriced at $13

N4 V3 C3
Sandell 2011-10-01

Rubicon Limited RBC

Rubicon's NZ-listed holdco structure hides two world-class US assets — ArborGen and Tenon — that a Tenon auction, ArborGen NASDAQ relisting, and three new shareholder directors can unlock for 200-300%+ upside.

N4 V3 C2
Third Point 2011-09-14

Yahoo! Inc. YHOO

Yahoo's Asian assets and cash alone cover its $14 price; with a new board and unlocked 40% Alibaba stake, intrinsic value is $20-32 per share — 40-122% upside.

N4 V3 C3
Pershing Square 2011-09-14

Hong Kong Monetary Authority / HKD-USD Peg

HKD peg forces Hong Kong to import ultra-loose U.S. monetary policy despite a vastly stronger economy

N5 V3 C3
Pershing Square 2011-05-25

Family Dollar Stores FDO

FDO trades at same ~9x forward EBIT as Dollar General despite 37% performance gap

N5 V3 C3
Elliott Management 2011-03-09

Iron Mountain Incorporated IRM

IRM's core storage is a compelling REIT — conversion unlocks ~$10.58/share in tax savings plus cap rate re-rating

N4 V3 C3
Pershing Square 2010-05-26

General Growth Properties GGP

GGP is worth ~$20/share sum-of-parts ($15 PF GGP + $5 GGO) vs. $14 price — 43% upside by year-end

N5 V4 C4
Pershing Square 2009-12-07

Mall REIT sector (long General Growth Properties) GGP

Mall REITs still trade at 7.8% cap rates vs. 6.3% Baa — a historically wide spread

N4 V3 C3
Pershing Square 2009-10-20

Corrections Corporation of America CXW

CXW trades at a 12% cap rate vs ~7% for Health Care REITs with near-identical attributes

N5 V4 C3
Pershing Square 2009-05-27

General Growth Properties GGWPQ

GGP's assets materially exceed liabilities — this is a liquidity bankruptcy, not insolvency

N5 V3 C3
Pershing Square 2008-11-19

Target Corporation TGT

Target trades at only 5.8x '09E EV/EBITDA while REITs trade 14.5x-35.7x — 22% of EBITDA mispriced

N4 V3 C3
Pershing Square 2008-10-29

Target Corporation TGT

Target owns 95% of its buildings — more real estate than any big-box peer, worth $39bn replacement value

N5 V3 C3
Pershing Square 2008-05-21

Wendy's International WEN

Wendy's is 93% a brand-royalty and real-estate business masquerading as a restaurant chain

N5 V3 C3
Pershing Square 2006-11-09

Borders Group, Inc. BGP

Book superstore industry is misunderstood — Amazon risk is exaggerated and superstores have gained share

N4 V3 C3
Pershing Square 2005-11-15

McDonald's Corporation MCD

McDonald's real estate is worth ~$46bn, ~94% of enterprise value, but trades like a restaurant stock

N5 V4 C3
Greenlight Capital 2002-06-17

Allied Capital ALD

Allied appears to flout SEC fair value rules by using SBA-style accounting to overstate NAV

N5 V2 C1
Starboard Value

Fluor Corporation FLR

Fluor's $4bn NuScale stake masks a transformed EPCM core trading at just 2.8x EBITDA; separating NuScale unlocks a re-rating to peer 6-13x multiples.

N4 V4 C4