John Leonard, CFA
Special situations, micro-cap, contrarian, CFA

Ocean Bio-Chem Is Undervalued, Overlooked And On The Verge Of Disrupting Multiple Markets

(Editors' Note: This article covers a stock that is trading at less than $1 per share and/or has less than a $100 million market cap. Please be aware of the risks associated with these stocks.)

Key takeaways

    Ocean Bio-Chem (NASDAQ:OBCI) trades at an attractive multiple as higher, growth-related marketing expenses and non-recurring legal expenses result in temporary lower EBITDA. This discount to intrinsic value is magnified by the nanocap status and lack of analyst coverage. The market is ignoring the growth potential in disrupting large markets with its "game changing" products. As a result, investors have the opportunity to buy an existing great business with a wide moat for a mid single-digit multiple and get the growth prospects ...
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