Mike Zaman's  Instablog

Mike Zaman
Send Message
  • Family Dollar Stores (FDO) Carl Icahn, Midas Touch Applied To The Stock Market 0 comments
    Jun 9, 2014 4:20 AM | about stocks: FDO, CVI, FRX, CHK, BIIB

    https://staticseekingalpha.a.ssl.fastly.net/uploads/2014/6/9/saupload_fdo.jpg Family Dollar Stores Inc. (NYSE:FDO)

    King Midas is popularly remembered in Greek mythology for his ability to turn everything he touched with his hand into gold. Something like that is happening in the stock market.

    After the closing bell on Friday, Carl Icahn disclosed in a filing with the Securities and Exchange Commission a nearly 9.4% stake in FDO. In after hours trade and following disclosure of the stake, shares of FDO surged nearly 10%.

    The billionaire investor wants to meet with the company's senior management team and board of directors to discuss FDO's operating initiatives or the exploration of strategic alternatives, and he may also seek board representation "if appropriate.".

    According to the filing, Carl Icahn sees "great long-term potential" in the discount retail industry and he believes FDO's current financial position is similar to that of CVR Energy (NYSE:CVI), Forest Laboratories (NYSE:FRX), Chesapeake Energy (NYSE:CHK) and Biogen Idec (Nasdaq:BIIB) - companies that Icahn has targeted in the past.


    FDO operates a chain of self-service retail discount stores primarily for low- and middle-income consumers in the United States

    More about Family Dollar Stores Inc. (FDO) at www.familydollar.com


    Read Full Disclaimer at www.finance.crwe-pr.com/disclaimer

    Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.

    Stocks: FDO, CVI, FRX, CHK, BIIB
Back To Mike Zaman's Instablog HomePage »

Instablogs are blogs which are instantly set up and networked within the Seeking Alpha community. Instablog posts are not selected, edited or screened by Seeking Alpha editors, in contrast to contributors' articles.

Comments (0)
Track new comments
Be the first to comment
Full index of posts »
Latest Followers


More »
Instablogs are Seeking Alpha's free blogging platform customized for finance, with instant set up and exposure to millions of readers interested in the financial markets. Publish your own instablog in minutes.