Inside the Buy-Side - A Pitch The PM Column No. 9

I am working on my first Buffett Punchcard 📇
- As Buffett said: "Only buy 20 names in your life- so be very selective"
- But remember, Berkshire owns 189 private companies and then the public portfolio.

This is a small cap name in an industry I know well.
It's under covered because it's small, in an unloved industry, is mid transition, and has limited float.

✅ I see value at ~50% of "fair value" via SOTP.
💰 There's a margin of safety- the cash balance alone worth ~20% more than the current share price.
💼 Plus, they're owed more cash from legacy issues.

Even better:
📈One of its core industries is recovering after its worst year ever.
The company has already rebuilt its equipment base and is starting to see improved utilization.

Longer-term:
This is like buying a private equity vehicle at 50% of NAV- with no management fees!

1) What ACTION do I want the Portfolio Manager to take? 
2) Do I UNDERSTAND this business? 
3) Is the stock available at a REASONABLE price today?
4) Why is this stock MIS-PRICED?
5) What is my VARIANT VIEW vs the street?
6) What is my EVIDENCE?
7) What are the CATALYSTS for the street to realize my view? 
8) What is it WORTH if my bet is right?
9) What is the OTHER SIDE of the bet?
10) Is management ALIGNED with ownership?

Subscribe below and you’ll gain access to the first few slides of the Variant View Investment Checklist. (Yes, it includes the ticker) 👇