TRIP – TRIPADVISOR, INC. (HQ: USA/Industry: Interactive Media & Services)
Tripadvisor operates the world’s largest travel guidance platform, connecting a global audience of prospective travelers with travel partners through rich content, price comparison tools, and online reservation and related services for destinations, accommodations, travel activities and experiences, and restaurants. The company’s mission is to help people around the world plan, book and experience the perfect trip.

Tripadvisor was impacted greatly in 2020 by COVID, which included being the company’s worse year for revenue, and only year of having both negative NI and FCF out of the previous 10-years. The stock has had a steady sell-off since March 2020 and has yet to recover. To value the business at their current market price the company would need a 5% per year growth for the next 10-years.

SEC filing link: https://www.sec.gov/edgar/browse/?CIK=1526520&owner=exclude

SXC – SUNCOKE ENERGY, INC. (HQ: USA/Industry: Metals & Mining)
SunCoke Energy is the largest independent producer of high-quality coke in the Americas, as measured by tons of coke produced each year. Coke is a principal raw material in the blast furnace steelmaking process and is produced by heating metallurgical coal in a refractory oven, which releases certain volatile components from the coal, thus transforming the coal into coke. The company also owns and operates a logistics business that provides handling and/or mixing services to steel, coke, electric utility, coal producing and other manufacturing based customers.

SunCoke has seen a sharp growth in its stock price over the past 3-months, which has been helped by the rise in energy prices. While the stock price has increased, so has the company’s share count by 20% over the last 10-years. To value the business at their current market price the company would need a 5% per year growth for the next 10-years.

SEC filing link: https://www.sec.gov/edgar/browse/?CIK=1514705&owner=exclude

ALLE – ALLEGION PUBLIC LIMITED COMPANY (HQ: Ireland/Industry: Building Products)
Allegion is a leading global provider of security products and solutions that keep people and assets safe and secure in the places they reside, work and thrive. The company creates peace of mind by pioneering safety and security with a vision of seamless access and a safer world.

Allegion has seen mostly consistent revenue, dividend and FCF growth over the last 10-years, along with a slight decline of 5% in its outstanding share count. The company has also average over a 17% ROIC during the same period. To value the business at their current market price the company would need a 17% per year growth for the next 10-years.

SEC filing link: https://www.sec.gov/edgar/browse/?CIK=1579241&owner=exclude

SCPL – SCIPLAY CORPORATION (HQ: USA/Industry: Entertainment)
SciPlay is a leading developer and publisher of digital games on mobile and web platforms. The company operates in the social gaming market, which is characterized by gameplay online, on mobile phones or on tablets that are social and competitive, and self-directed in pace and session length. While generating substantially all of its revenue from in-app purchases in the form of virtual coins, chips and cards, which players can use to play slot games, table games or bingo games.

SciPlay’s stock has sold-off since November 2022 and is undervalued by the market. While NI has declined since 2019, and 2021 FCF down roughly 17% from the prior year. But the company’s revenue and BV have been steadily increasing since before the IPO in 2019. Along with an average ROE of 25% and ROIC of 24%.

SEC filing link: https://www.sec.gov/edgar/browse/?CIK=1760717&owner=exclude

BBGI – BEASLEY BROADCAST GROUP, INC. (HQ: USA/Industry: Media)
Beasley Broadcast is a multi-platform media company whose primary business is operating radio stations throughout the United States. The company offers local and national advertisers integrated marketing solutions across audio, digital and event platforms.

Beasley stock has been selling off for 6-months, significantly underperforming the S&P500. Although the company’s revenue has grown more than 140% over the last 10-years, there has been multiple years of declining sales. Along with the previous 2-years having both negative NI and FCF. The market is pricing the stock fairly, however, the price does not account for a large enough margin of safety.

SEC filing link: https://www.sec.gov/edgar/browse/?CIK=1099160&owner=exclude