Implied Value

Replenishing The Pantry

Key Stats

Price: $17.1
Diluted Shares: 24.7 million
Market Cap: $420 million
Net Debt: $931 million
Enterprise Value: $1.35 billion

The Pantry (NASDAQ:PTRY) runs 1,534 convenience stores in the southeastern US, with 78% of the stores located in Florida, North Carolina, South Carolina, Georgia, and Alabama. The stores sell fuel, as well as a typical array of merchandise like cigarettes, grocery, and beverages. 224 locations include quick serve restaurants (NYSE:QSR) and 238 have a car wash.

After years of underperformance, a newly elected board appears to have a credit plan to enhance value at PTRY. I believe many of the activists' proposals are reasonable, and more importantly, within the control of the company.

Before looking forward,

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