$LB is also a deep value play. $LB trades at just 7.9x this year's , .037x sales, and 12.12x FCF . With the stock down from 52-week highs near $30, there's a lot of room $LB can run.
While we wouldn't bet the farm on $LB, it looks to be a speculative buy at current levels.
As always, use protective stops and trade with caution.
Good luck to all!
DB analyst Tiffany Kanaga thinks LB's holiday report, with Victoria's Secret reporting sales well below expectations, likely tips the scale "more toward a split, likely triggering strategic action in the near-term."
LB's "window of opportunity" for action is fairly limited, which creates a risk/reward that is now "skewed meaningfully to the upside," Kanaga contends.
In addition, Barington's standstill agreement expires next month and other activists could enter the fray ahead of LB's annual meeting, the analyst says.