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What are you buying today?


LowIQinvestor

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On 5/3/2021 at 1:09 PM, Gregmal said:

added to ALCO

Don't feel like starting a separate thread, but nice release here.

https://www.alicoinc.com/news/detail/1359/alico-inc-announces-strategic-actions-to-increase

So again, not the most exciting setup, but to me its a great quasi cash alternative(or free-2% carry if you've got some balls and some margin tolerance). Similar to FRP Holdings setup. You've seen the stress tested downside last year. Now there's material changes to the upside, and a proven management team. Alico has quietly taken some very positive and pro shareholder steps. The targeted ~40M annual EBITDA in a few years makes this compelling and still gives you a lot of free call options. And yea, there's started to be interest in the land. Which IMO is definitely not the best located land in FL, but FL land nonetheless and the soil they are situation on is ideal for building w/ high sand content. If, as alluded to by management, land sales start coming in(some already under contract), you could get a massive rerating here. Regardless, should see continued balance sheet improvement, cash flow ramp, and dividend increases. Just my 2C. Feel free to short it as well.

Edited by Gregmal
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