Cherokee Group's GARP: Growing Attractive Royalty Profits
- Quality business model: asset-light, low operational risk, high returns on minimal capital.
- Expanding global economy provides organic growth, and acquisitions will add further growth.
- Past three acquisitions have been accretive, and the company announced an 11% share repurchase program, which would be accretive at current prices.
- Plenty of downside protection, with $85 million in minimum royalty guarantees.