Summary
- Merion Road Capital’s Long Only portfolio gained 10% in the quarter.
- Kratos management identified several large wins post quarter end that will boost Q3 bookings.
- Victory Capital management increased their cost synergy target to $110mm and have historically exceeded their guidance.
- AMWD/MBC currently trade at 6.6x / 9.7x their depressed EBITDA / free cash flow.
The Long Only portfolio gained 10% in the quarter. The portfolio was most impacted by the strong performance of Kratos (“KTOS”), a position I initiated in Q2. The stock nearly doubled in Q3 driven by positive industry developments and
Merion Road Capital Management LLC is a registered investment adviser. We focus on value-oriented investing through rigorous fundamental analysis of a company’s operations.
