INNOVATE (VATE), mcap=$238m, price $3.04 vs. $3.72

Pitch: Holding company that recently went through transformation and that is expected to sell/IPO its operating businesses in 2023/2024. Activist in control after ousting previous management.

Valuation: In SOTP framework steel fabrication business is valued at $14/share (8x forw. EBITDA), the life sciences segment at $6/share (out of the air mostly), broadcasting segment at $7 (spectrum value).

Exp. gain: 5x upside over 2.5-3 years

Full VATE write-up (free guest account required):
https://valueinvestorsclub.com/idea/INNOVATE_CORP/9359780868

Leave a Comment