Liberty Broadband (LBRDK), mcap=$18bn, price $113 vs $124

– John Malone’s holding company with 26% ownership of CHTR.
– Charter accounts for 90% of the value with the remaining coming from Alaska-focused broadband provider GCI.
– Trades at a 17% discount to the value of its holdings, providing additional upside on Charter investment.
– Charter is undervalued today – it’s a growing and low-risk business that is unlikely to be meaningfully impacted neither by fiber nor fixed wireless competition.

– Trades at 9% look-through FCF yield and 17% discount to its holdings.
– Discounts have closed in previous Liberty entities through various transactions.

Exp. gain: Not specified.

Full LBRDK write-up (free guest account required):

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