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

Scott's Liquid Gold Trades At <4x EBITDA As Battle With Activist Masks Impressive Turnaround

Company overview

Scott's Liquid Gold (OTCPK:SLGD) sells household and skin/hair care products primarily in the U.S. to mass merchandisers, drugstores, supermarkets, hardware stores and wholesale distributors.

Household products include Scott's Liquid Gold Wood Cleaner and Preservative, Floor Restore, Wood Wash and Dust 'N Go Wipes. Skin/hair care products include Alpha Hydrox as well as Neoteric Diabetic healing cream, shampoo/scalp care and massage oils. SLGD is the exclusive distributor of Montagne Jeunesse skin sachets and Batiste dry shampoo.

"Street fight" with activist more constructive than it appears

Last month activist investor Timothy Stabosz ended a multi-year campaign against SLGD, largely waged through 13D filings that make those filed by Dan Loeb look tame in comparison. Although several of his...

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