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Alico, Inc. $ALCO
**Disclosure: I’m long the stock, so what you’re about to read is incredibly
biased * *

1. Is the company undervalued?
EV/EBITDA: 21.48 (Adjusted TTM EBITDA)
EV/Sales: 3.23
Price/Book: 0.74

$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:

open.substack.com
Alico, Inc. $ALCO
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