Pitch:
– 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.
Valuation:
– 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): https://www.valueinvestorsclub.com/idea/LIBERTY_BROADBAND_CORP/8254724546