This week’s Friday Update includes comments on our companies. There were no ratings changes or earnings reports. Look for the July edition of the Cabot Turnaround Letter next week, where we update our semi-annual Equity Market Outlook and our High Yield Bond outlook and offer up our July feature recommendation.
Friday, June 24, 2022, Subscribers-Only Podcast:
Covering recent news and analysis for our portfolio companies and other topics relevant to value/contrarian investors.
Today’s podcast is about 15½ minutes and covers:
- Comments on other recommended companies:
- Walgreens Boots Alliance (WBA) – Sale of U.K.-based Boots making progress, but price may be disappointing.
- M/I Homes (MHO) – complicated environment but we believe a 2008-style meltdown is highly unlikely.
- Toshiba (TOSYY) – Reuters reports a possible ¥7,000/share bid – that is roughly $26/ADR. Lots of turmoil in front of shareholder meeting next week.
- Wells Fargo (WFC) – Passed their annual stress test, likely leading to share buybacks.
- Credit Suisse (CS) – Company hosts Deep Dive next week. We believe bank’s survival hinges on complete replacement of leadership.
- Elsewhere in the market:
- Kellogg’s (K) announces a soggy but perhaps necessary split-up.
- The new “Tax Belt”?
Please know that I personally own shares of all Cabot Turnaround Letter recommended stocks, including the stocks mentioned in this note.
Please feel free to share your ideas and suggestions for the podcast and the letter with an email to either me at bruce@cabotwealth.com or to our friendly customer support team at support@cabotwealth.com. Due to the time and space limits we may not be able to cover every topic, but we will work to cover as much as possible or respond by email.
Please know that I personally own shares of all Cabot Turnaround Letter recommended stocks, including the stocks mentioned in this note.
| Market Cap | Recommendation | Symbol | Rec. Issue | Price at Rec. | 6/23/22 | Current Yield | Current Status |
| Small cap | Gannett Company | GCI | Aug 2017 | 9.22 | 3.04 | - | Buy (9) |
| Small cap | Duluth Holdings | DLTH | Feb 2020 | 8.68 | 11.06 | - | Buy (20) |
| Small cap | Dril-Quip | DRQ | May 2021 | 28.28 | 23.52 | - | Buy (44) |
| Small cap | ZimVie | ZIMV | Apr 2022 | 23.00 | 17.45 | - | Buy (32) |
| Mid cap | Mattel | MAT | May 2015 | 28.43 | 22.51 | - | Buy (38) |
| Mid cap | Conduent | CNDT | Feb 2017 | 14.96 | 4.41 | - | Buy (9) |
| Mid cap | Adient plc | ADNT | Oct 2018 | 39.77 | 31.24 | - | Buy (55) |
| Mid cap | Lamb Weston Holdings | LW | May 2020 | 61.36 | 69.2 | 1.4% | Buy (85) |
| Mid cap | Xerox Holdings | XRX | Dec 2020 | 21.91 | 15.74 | 6.4% | Buy (33) |
| Mid cap | Ironwood Pharmaceuticals | IRWD | Jan 2021 | 12.02 | 11.05 | - | Buy (19) |
| Mid cap | Viatris | VTRS | Feb 2021 | 17.43 | 10.73 | 4.5% | Buy (26) |
| Mid cap | Organon & Co. | OGN | Jul 2021 | 30.19 | 34.92 | 3.2% | Buy (46) |
| Mid cap | TreeHouse Foods | THS | Oct 2021 | 39.43 | 39.49 | - | Buy (60) |
| Mid cap | Kaman Corporation | KAMN | Nov 2021 | 37.41 | 30.94 | 2.6% | Buy (57) |
| Mid cap | The Western Union Co. | WU | Dec 2021 | 16.40 | 15.91 | 5.9% | Buy (25) |
| Mid cap | Brookfield Re | BAMR | Jan 2022 | 61.32 | 44.35 | 1.3% | Buy (93) |
| Mid cap | Polaris | PII | Feb 2022 | 105.78 | 104.49 | - | Buy (160) |
| Mid cap | Goodyear Tire & Rubber | GT | Mar 2022 | 16.01 | 11.21 | - | Buy (24.50) |
| Mid cap | M/I Homes | MHO | May 2022 | 44.28 | 39.34 | - | Buy (67) |
| Mid cap | Janus Henderson Group | JHG | Jun 2022 | 27.17 | 24.28 | 6.4% | Buy (67) |
| Large cap | General Electric | GE | Jul 2007 | 304.96 | 64.07 | 0.5% | Buy (160) |
| Large cap | Shell plc | SHEL | Jan 2015 | 69.95 | 49.17 | 4.1% | Buy (60) |
| Large cap | Nokia Corporation | NOK | Mar 2015 | 8.02 | 4.67 | 2.0% | Buy (12) |
| Large cap | Macy’s | M | Jul 2016 | 33.61 | 19.07 | 3.3% | HOLD |
| Large cap | Credit Suisse Group AG | CS | Jun 2017 | 14.48 | 5.64 | 4.6% | Buy (24) |
| Large cap | Toshiba Corporation | TOSYY | Nov 2017 | 14.49 | 21.03 | 3.0% | Buy (28) |
| Large cap | Holcim Ltd. | HCMLY | Apr 2018 | 10.92 | 8.93 | 4.9% | Buy (16) |
| Large cap | Newell Brands | NWL | Jun 2018 | 24.78 | 19.46 | 4.7% | Buy (39) |
| Large cap | Vodafone Group plc | VOD | Dec 2018 | 21.24 | 15.59 | 6.5% | Buy (32) |
| Large cap | Kraft Heinz | KHC | Jun 2019 | 28.68 | 37.85 | 4.2% | Buy (45) |
| Large cap | Molson Coors | TAP | Jul 2019 | 54.96 | 53.8 | 2.8% | Buy (69) |
| Large cap | Berkshire Hathaway | BRK.B | Apr 2020 | 183.18 | 267.52 | - | HOLD |
| Large cap | Wells Fargo & Company | WFC | Jun 2020 | 27.22 | 37.9 | 2.1% | Buy (64) |
| Large cap | Western Digital Corporation | WDC | Oct 2020 | 38.47 | 45.92 | - | Buy (78) |
| Large cap | Elanco Animal Health | ELAN | Apr 2021 | 27.85 | 19.94 | - | Buy (44) |
| Large cap | Walgreens Boots Alliance | WBA | Aug 2021 | 46.53 | 40.89 | 4.7% | Buy (70) |
Disclosure: The chief analyst of the Cabot Turnaround Letter personally holds shares of every Rated recommendation. The chief analyst may purchase securities discussed in the “Purchase Recommendation” section or sell securities discussed in the “Sell Recommendation” section but not before the fourth day after the recommendation has been emailed to subscribers. However, the chief analyst may purchase or sell securities mentioned in other parts of the Cabot Turnaround Letter at any time.Please feel free to share your ideas and suggestions for the podcast and the letter with an email to either me at bruce@cabotwealth.com or to our friendly customer support team at support@cabotwealth.com. Due to the time and space limits we may not be able to cover every topic, but we will work to cover as much as possible or respond by email.