Recommendation Updates

Follow the latest news on active Turnaround Letter purchase recommendations.

Large Cap / Food, Beverage, & Tobacco / Food & Staples Retailing

Sara Lee Financials Released

On February 2, 2012, Sara Lee Corp. (NYSE: SLE) reported earnings for the second quarter and first half of fiscal 2012. Highlights for the second quarter (continuing operations) include the following: adjustedand reported net sales increased 6%; Coffee & Tea’s adjusted net sales up 12%; Meat’s adjusted net sales up 1%; Coffee & Tea’s adjusted operating segment income up 2%; Meat’s adjusted operating segment income down 2%; adjusted EPS increased six cents to $0.27 while reported EPS decreased nine cents to $0.05. In the first six months, adjusted net sales increased 13%, MAP spend was up 24% and adjusted operating segment income increased by 9%. The company reiterates its guidance despite a negative impact from currency: adjusted EPS: $0.89-$0.95; net sales: $7.9 - $8.15 billion; adjusted operating income (including acquisitions): $875-$930 million; net interest expense: $80 million; tax rate: 33.4%; year-end cash: $300 million; year-end debt updated from $2.1 billion to $2.4 billion; average Dollar/Euro exchange rate updated from $1.39 to $1.35.

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Identify & Profit from Distressed Investing

Free Report: Turnaround Investing Mistakes

Turnaround Investing Blog

Turnaround Investing Blog

Is there value in bankrupt PG&E’s stock?

In nearly every case, the shares of a company in bankruptcy become worthless. In very rare cases, however, they can become great investments. W.R. Grace (NYSE:GRA) shares produced a 75-fold return, as an example. With California utility PG&E (NYSE:PCG) now in bankruptcy, the range of possible outcomes for its equity is wide.

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EV/EBITDA: What Is It & Why Are We Using It More?

In reading recent editions of The Turnaround Letter, you have probably noticed that we are increasingly using EV/EBITDA as a valuation measure, rather than the better-known price/earnings multiple.  We thought it might be useful to describe this measure and why we like it.

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Turnaround Letter Stock Pick Named Top Performer of 2017


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What Last Year's Top Stock Pickers Are Buying in 2018


This Forbes write-up follows up on the recent Top Stock Tips report--naming The Turnaround Letter's Crocs recommendation the top performer of 2017: With 90% gains, CROX beat out 100 other investment ideas included in the report; and the stock continues to have value investing appeal, according to Putnam.


George notes, "We see additional upside for the stock in 2018 as management's efforts continue to bear fruit, though the gains will likely be more muted than we saw in 2017."