Mike Arnold
Value, growth at reasonable price, long only, tech

TheStreet.com Is Still A Compelling Investment Opportunity

Shares of TheStreet.com (NASDAQ:TST) ("The Street") received a bump after I wrote about the company in September, and after a private equity firm revealed it solicited a $2.80 takeover bid for the company, representing a 31% premium to the $2.14 closing price on December 12, 2013.

Over the last several weeks, shares have meandered lower, retracing to levels when my original article was published. Today, The Street's common shares are valued at ~$72 million, and the company is still encumbered by preference shares held by Technology Crossover Ventures with a liquidation value of $55 million.

In my mind, the existence of these preference shares in the capital structure are obstructing some value from being recognized in the common...

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
  • Access Top Ideas, chosen by Seeking Alpha’s editors
  • Filter long and short ideas by market cap and sector
  • Get Coverage of over 5,000 stocks, many of which have little or no coverage elsewhere
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO." Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else." Patrick Rice, Mainstay Capital Management
100% Satisfaction Guaranteed
Money back guarantee. Seeking Alpha PRO members receive a no-questions-asked refund for membership on months paid and not used. Details