Keith Meister Ira Sohn coverage brought to you by ValueWalk.
Keith Meister is Managing Partner and Chief Investment Officer of Corvex. Keith Meister served as Chief Executive Officer and then Principal Executive Officer and Vice Chairman of the Board of Icahn Enterprises G.P. Inc., the primary vehicle through which Carl C. Icahn conducts his business affairs. Keith Meister served as Senior Managing Director of the General Partners of Icahn Partners LP and affiliated funds. The Icahn Funds are value-oriented activist hedge funds focused on equity and distressed debt investments. Keith Meister currently serves on the board of directors for The ADT Corporation, the largest residential and small business security provider in the U.S. and Canada, and Ralcorp Holdings, the largest North American private label food manufacturer.
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Keith Meister Ira Sohn Conference Live
1:00: Keith Meister, a Icahn alum, likes companies that he can positively influence with favorable macro events. He likes companies that can are positioned to bag the low interest rate markets of these days. He also prefers consolidating industries.
1:05: All the above points can be witnessed in data carriers.
1:10 Meister loves companies that will be handling the big data communication revolution in the next decades. He says that this business is undergoing consolidation and that is what Icahn taught him, to keep it simple.
1:12: Meister likes TW Telecom Inc (NASDAQ:TWTC) and Level 3 Communications, Inc. (NYSE:LVLT). He sees M&A activity happening in both companies. Looks at TWTC as a candidate for acquisition while LVLT can acquire others. Level 3 is over leveraged and is predicatable while TWTC is underleveraged and has higher risks. Lauds both companies for having great assets and scale.
1:15: Mesiter on Level 3, has $40 billion in real estate. Despite of shady balance sheets it went through refinancing. Revenues are showing accelerated growth, balance sheet becomes stable.
1:25: TWTC is stable with 80 percent revenues generating from data carrying. This is good because data carriers is a booming business. This one has the potential to be acquired by several data majors, Level 3 Communications, Inc. (NYSE:LVLT), Verizon Communications Inc. (NYSE:VZ), CenturyLink, Inc. (NYSE:CTL), Comcast Corporation (NASDAQ:CMCSA) etc. TWTC has shown revenue growth for 34 quarters now. Meister estimates a $38 price for TWTC. Price target for LVLT is also $34, now that balance sheet is unquestionable.