Alpha Apache
Long/short equity, value, special situations, long-term horizon

Hanger Inc.: It Won't Cost You An Arm And A Leg To Hit A Double

(click to enlarge)

Thesis

Hanger, Inc. (OTCPK:HNGR), ("HNGR", "Hanger", or the "Company), the largest Orthotic and Prosthetic (O&P) service provider in the United States, is mispriced due to the 2014 discovery of accounting irregularities and subsequent Q1 2016 delisting from the NYSE. Importantly, the delisting was due to the company's failure to file restated and current financials pending the completion of ongoing audits, and not as a result of fundamental deterioration in the Company's operating performance.

Therein lies the opportunity. Hanger's delisting caused large scale non-economic selling as many holders cannot own stocks traded over the counter (OTC), and shares have yet to recover fully from the price shortly before the delisting announcement. The company is expecting to

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
FREESA PRO MEMBERS
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
PRO Top long ideas returned 21.7% in 2016**
"As a PRO member, we get uniquely valuable perspective that go beyond our quantiative analysis... We rely on PRO to get beyond the numbers quickly and add much needed perspective. It keeps me ahead of the next big thing. - Mark Choate, Malaga Cove Capital"
Mark Choate, Malaga Cove Capital
"Contributors (writers and commentators), often have a long history in the secuirities they opine on and some are clearly well positioned industry participants with detailed industry views that can help provide color on where the skeletons are buried in a particular secuirity and/or industry."
Jim Roumell, Roumell Asset Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details