1. Is the company undervalued?

$SMG is trading at near historic lows in regards to earnings and sales, with management forecasting growth across the board in 2023. Having said that $SMG is up to their eyeballs

in debt and don’t anticipate the situation getting better until the back half of 2023. In fact $SMG is dangerously close to breaking their debt covenant, which almost surely will cause pain for shareholders. On the other hand $SMG is a well know brand with pricing power and has shown the ability to generate impressive FCF. If earnings normalize and $SMG is able to pay down debt, investors could see above market returns.

Link to full write-up here:

**Disclosure: I’m long the stock, so what you’re about to read is incredibly

biased * *

1. Is the company undervalued?

$ALCO is trading at its cheapest valuation ever relative to assets and are actively looking to sell off some of their real estate. With that said the operating business is currently a dumpster fire. A winter freeze in January and Hurricane Ian have resulted in a material pullback in the

business. Furthermore management is unsure whether they will be able to recoup any of their loses thru insurance. Moreover $ALCO recently cut their dividend by 90% which doesn’t exactly signal financial strength. Nevertheless the orange industry isn’t going anywhere and there will no doubt be better yielding years ahead. Investors could benefit by buying while

there’s still uncertainty, which makes this an idea worth looking into.

Link to full write-up here:

1. Is the company undervalued?

$LE has hit a rough patch in their business with demand slowing and earnings falling off a cliff. Furthermore Land’s End has balance sheet concerns and was forced take on additional debt

earlier in the year. Notwithstanding the company is trading near all time lows in regards to revenues and assets. If the business mean reverts, then $LE should be able to pay down debt and potentially get a re-rating as a result.

Link to full write-up here:

1. Is the company undervalued?

*Please note long term operating leases are being excluded in the calculation of Enterprise Value here *

$HIBB is trading around the same valuation as many of its retail contemporaries. However the business is by no means a melting ice cube, with stores in only 36 states and plenty of room to expand. Additionally $HIBB is underearning relative to what management is guiding for, which makes the single digit earnings multiple a bit of a headscratcher. However $HIBB is challenged with macro-economic concerns and there’s reason to believe that the business will deteriorate meaningfully. With that said the stock is cheap, growing its earnings power, and returning capital back to shareholders.

Link to full write-up here:

1. Is the company undervalued?

$PZZA is most likely not gonna show up on any best ideas list for either a value or growth manager. With that said Papa John’s is a proven franchise model with ample white space to

grow. Moreover the business is probably underearning and could see margin expansion moving forward. This coupled with a decent shareholder yield and solid balance sheet, makes $PZZA an idea worth looking into.

Link to full write-up here:

1. Is the company undervalued?

$PLCE is trading at an attractive valuation, nearing decade lows in regards to sales and book value. With that said there’s serious growth concerns and the company is currently overearning compared to its history. On the other hand, children’s clothing is most likely less cyclical than your prototypical discretionary retailer. This coupled with a strong capital return policy makes $PLCE an idea worth looking into.

Link to full write-up here:

1. Is the company undervalued?

*Please note I’m backing out operating leases and customer deposits in the calculation of Enterprise value here *

$HVT is a cyclical stock that’s inexplicably performing well in this environment, with sales up 5.4% YOY and margins expanding in the latest quarter. Having said that the company is expecting a slowdown next year in both sales and earnings. Nevertheless the stock is trading at bargain basement prices with effectively zero solvency concerns. Furthermore $HVT has ample runway left to keep opening new stores while maintaining a shareholder friendly capital return policy. To quote Monish Prabrai $HVT seems like a “Heads I win, tails I don’t lose much” thesis.

Link to full write-up here:

1. Is the company undervalued?

$NWL has a robust portfolio of consumer brand name products. While unsexy the company

has historically been shareholder friendly and grown at a market rate. On the other hand, $NWL is challenged with a difficult environment near term as retailers have begun to drastically slow their orders. Moreover Newell’s debt load is becoming worrisome with negative FCF YTD and the cost of capital skyrocketing. However $NWL is trading at a step discount compared to its history and should continue to grow once they navigate thru this choppy period. If the company comes out unscathed shareholders could benefit from a multiple rerate, while getting paid handsomely to wait.

Link to full write-up here:

1. Is the company undervalued?

$UA faces a number of challenges including; slowing demand, currency headwinds, and an open CEO role. With that said the business is throwing off significant free cash and has grown at an above market rate historically. Nonetheless Under Armour is working thru a large inventory pile up, so earnings will look ugly for at least another couple quarters. This opens up an opportunity for long term investors to buy a durable brand with solid growth prospects trading at a single digit earnings multiple.

Link to full write-up here:

1. Is the company undervalued?

$MTCH doesn’t appear cheap at surface level, however the company is underearning due to a large non-cash impairment charge. Furthermore $MTCH is incredibly profitable due to their asset light model. Moreover management believes they can grow revenues at mid to high teens in the not so distant future. Throw in the fact that $MTCH is now returning capital back to shareholders, makes this a compelling investment idea.

Link to full write-up here: