Today I'll round out my 2021 Triple Net Active Portfolio with four additional names, for a total of eight. On Wednesday, I unveiled the first four; American Outdoor Brands (AOUT), Nautilus Inc. (NLS), National Presto Industries (NPK), and CarLotz Inc. (LOTZ).
Engineering and construction company Argan (AGX) is a holdover from last year; I couldn't resist. AGX currently trades at 2.48x net current asset value (NCAV), and has $491.5 million, or $31.17 per share in cash and short-term investments and no debt. That's up from $26/share last year. AGX currently trades at 11x next year's "consensus" estimates, with just two analysts covering it. Frankly, it's performance in last year's Active portfolio (up 10%) was disappointing. But it's hard to say no to a company trading at $44 with $31 million in cash and investments trading at 11x forward earnings. It also yields 2.23%.
Immersion Corp (IMMR) , which provides haptic technology, trades at 2.51x NCAV. The company ended its latest quarter with $107 million or nearly $3.50/share in cash and no debt. IMMR trades at about 8x next year's consensus estimates. Its been a rough year so far as shares are down 38% year-to-date.
Northwest Pipe Company (NWPX) currently trades at 2.56x NCAV, and 10x next year's "consensus" earnings estimates (just two analysts covering). Earlier this month, the company acquired Park Environmental Equipment for $87.4 million, a move that is expected to be immediately accretive to earnings. NWPX shares are down 17% year-to-date.
Last but not least is another departure from the norm (in addition to LOTZ), plant-based food name Laird Superfood (LSF) , which currently trades at 2.94x NCAV. This is a "busted" IPO story: LSF went public in September of 2020 at $22/share, closed the first day of trading at $40.80, rose to $56 in February, before reversing course. LSF closed at $17.64 yesterday, 20% below its IPO price. The company is not expected to be profitable this year or next, and currently has $43 million or just under $5/share in cash and short-term investments on the books, and just $51K in debt. LSF generated $26 million in revenue in 2020 and that is expected to more than double to $59 million in fiscal 2022.
There you have it, a somewhat eclectic group of names trading relatively cheap versus their NCAV's, that comprises this year's Active portfolio.
