Quick Value #256 - Beaten Down Cyclical
Cyclical is down 36% over past year, bought and sold assets >3x current market cap, starting to grow again and extremely cheap
Today’s idea:
Beaten down industry (most stocks down 30-40% over the past year)
Shares trading at 5x EBITDA and 10x earnings with modest leverage (<2x)
Business model shift via capital allocation — sales + M&A = 3x market cap
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