Easyonlinepaydayloan

HDL undervalued

trickynick said: "I bought some at a slightly higher level a while back and after a recent decline the company now has a market cap of $309 million. As of April 30 this year, the company had $295 million in net tangible assets. Something's definitely got to give here. I'd be half tempted to buy the Titanic at that valuation."

HappyHarry said: "That's pretty much the classic value play."

trickynick said: "One caveat about this, however. $115 million of their assets are inventory and that number assumes it would sell at wholesale prices. At one point in time, Handleman may have had a realistic expectation of getting $17 for a Chipmunks CD but if it came to liquidation they'd probably by doing well to get a quarter a smack for the ones that are sitting in the warehouse today. That notwithstanding I still think they are a good value play."

AlfredSokol said: "Why so much inventory?"