Rubicon: Turning Around

About: the Rubicon Project, Inc. (RUBI), Includes: GOOG, GOOGL
by: Equity Labs
This article is exclusive for subscribers.
Equity Labs
Long only, value, growth at reasonable price, dividend growth investing

Rubicon has released Q2 earnings and the company's performance is below expectations.

The market is extremely pessimistic on Rubicon's potential.

Rubicon's growth story is being rebooted. Short term volatility provides attractive bargains on a growth stock with a long term horizon.

Management has already initiated organic and inorganic strategies that seem to be in right direction.

FCF and income should improve moving forward and this could be the right time to go long (>12 months).

Investment Thesis

Rubicon (RUBI) is turning around, and is already half past it. The market, as irrational as it could be, has completely discounted Rubicon's worth and values it primarily by its cash