Daniel Miller is a managing director of GAMCO Investors (NYSE:GBL), a diversified financial services firm with over $40 billion under management, and has been the lead portfolio manager of the Gabelli Focus Five Fund since inception of the investment strategy on January 1, 2012.
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Daniel Miller spoke at the 9th Annual Value Investing Congress, also see Daniel Miller: Investing With Conviction. Below are notes from his presentation.
Highlights from Daniel Miller’s presentation
Idea 1: The Bon-Ton Stores, Inc. (NASDAQ:BONT)
Market cap $200M, debt $850M
279 locations, 25 states
Worth 6.5x 2015 EBITDA of $200M.
Stock is $11, Miller believes it’s worth $23
CEO will leave in 1 year. Search is on. CFO is good.
Easy comps in 2-4q.
Hurt by harsh weather and large store closures pre-Christmas.
Ideas 2: Rowan Companies PLC (NYSE:RDC)
Market cap $4B.
Fleet of jack-up rigs
Ordered 4 drill ships
2016 $1 billion OCF expected $1.2B EBITDA
Dividend initiated 40c a year. Likely to raise as new ships come on line. May do buybacks.
Richard Lashley is a co-founder and principal of PL Capital, an investment firm specializing in U.S. community banks and thrifts. PL Capital utilizes shareholder activism to improve corporate governance and maximize shareholder value in the banks and thrifts in which it invests. Prior to PL Capital, Rich was a CPA at KPMG Peat Marwick from 1984 to 1996.
Richard Lashley spoke at the 9th Annual Value Investing Congress, also see JPMorgan Backs Away From The Brink With Russia. Below are notes from his presentation.
Highlights from Richard Lashley’s presentation
Activist in banks
Tarp warrants of JPMorgan, Capital One Financial, PNC are attractive
JPMorgan Chase & Co. (NYSE:JPM) 16% IRR expected
Capital One Financial Corp. (NYSE:COF) 19% IRR
PNC Financial Services Group Inc (NYSE:PNC) 25% expected
Small cap bank ideas:
1. Metro Bancorp Inc (NASDAQ:METR)
2. Horizon Bancorp (NASDAQ:HBNC)
3. Intervest Bancshares Corp (NASDAQ:IBCA)