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The Microcap Speculator submits: Carl Icahn has amassed a fortune rumored to be as much as $7.6 billion by shaking up large cap stocks like RJR Nabisco, Time Warner (ticker: TWX) and Kerr-McGee (ticker: KMG).

But Icahn is also applying his activist strategies to microcap stock BKF Capital Group (ticker: BKF). BKF, an asset management company, sports a market capitalization of only $99.82 million, and has $53.06 million cash and equivalents on the balance sheet.

Icahn now owns 15.58% of the company and activist hedge fund Steel Partners owns 9.21%. An Icahn associate was just named to the board of directors. I expect that Icahn and Steel Partners will push for a sale of the company or a special dividend of the cash hoard.

The relentless price drop in this stock has given investors a chance to get in at much lower prices than Icahn and Steel Partners. I took advantage of that Friday, buying shares at $12.34. I may buy more this week.

DISCLOSURE: I am long BKF. I have no position in RJR, TWX or KMG. Not a recommendation to buy or sell any security. For informational and educational purposes only.

BKF 1-Yr Price Performance:

Source: Carl Icahn's Microcap Play: BKF Financial (BKF)