Mr Deep-Value's Substack

Mr Deep-Value's Substack

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Mr Deep-Value's Substack
Mr Deep-Value's Substack
2.5 x earnings and trading at 80% of TBV

2.5 x earnings and trading at 80% of TBV

This stock has lots of recent insider buying and has an average 5Y dividend yield of 15% (at todays price).

Apr 19, 2025
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Mr Deep-Value's Substack
Mr Deep-Value's Substack
2.5 x earnings and trading at 80% of TBV
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Today’s deep-value opportunity:

  • NCAV Ratio = 1.6

  • TBV Ratio = 0.8

  • EV/FCF Ratio = 2.5

  • P/FCF Ratio = 5.6

  • Avg SH Yield = 15%

The business has been FCF Positive in 10 of the past 11 years.

Insiders have bought hundreds of thousands of shares in the past few months.

Oh, and there is a catalyst in play that I believe will bear fruit in 2025.

I conservatively estimate that there is over 100% upside in this stock for anyone buying at current levels.

It’s a cash-rich, virtually debt-free business with a free-cash-flow obsessed management team that is focused on returning value to its owners.

Recently, the markets tanked because of the Trump-Tariff uncertainty. This caused all stocks to fall in unison.

Some fell more than others. Today’s stock was already cheap, but became an absolute no-brainer.

Let’s dive in…

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