Loyalty Ventures at $3.43.
…
The index ejection takes effect at market open July 5th, so that’s probably around the time to buy.
FWIW, the idea that selling would peak at the index addition date was not a bad speculation.
The absolute low (so far!) was in fact on July 5, at $3.11.
Price now $3.79, up 22%.
Early days yet, but Russell 2000 up only 5.3% in the same time frame, so LYLT has gone from a laggard to a leader.
Jim
Got in at 3.26, hat tip, thanks!
Now what is a good sell price?
I’ll buy you a beer if I’m ever in Monaco.
Now what is a good sell price?
Beats me.
But I can’t think of any good reason they shouldn’t trade at maybe 8-9 times forward earnings in a normal year.
Even if people think there is no growth, that’s what dead-enders might trade for, right?
At the moment, that would equate to $14.50 - $16.30 for LYLT, up 287% to 335% from here.
For BFH, that would be $95.70 - $107.70, up 150% to 180% from here.
It might take a few years for the mood to change, of course.
Plus, forward earnings estimates change sometimes. Sometimes the changes are even warranted.
If there is material deterioration in either business (BFH or LYLT, the market hates both), then discretion advised.
Jim
I’ll buy you a beer if I’m ever in Monaco.
Nah, the beer is bad here. “All lager, no ale” is up there with “all hat, no horse” for me.
Catch me when I’m visiting London.
Jim
Thanks for the info on LYLT and BFH.
I opened a small position today at $1.72.