Sell Howard Hughes

HHH: $67.45

Market Cap: $3.4BN

Summary

Just a quick update: I’ll be selling my position in Howard Hughes (HHH) to fund a purchase of Havas (HAVAS).

Howard Hughes remains an attractive company that isn’t directly impacted by potential tariffs—aside from broader recession-related risks. However, with Pershing Square attempting to take the company private, I don’t feel I have a clear edge in the current situation.

In line with this change, I’m also closing my recommendation on Seaport Entertainment Group (SEG), though I plan to keep my small personal position. SEG has meaningful asset value but is in the midst of a turnaround that may take years to materialize. I believe a small position is still justified.

I have significantly higher conviction in Havas, given its very low valuation, strong balance sheet, and stable business model. The planned dividend initiation in June—offering a 6.7% yield—combined with a share repurchase program, should serve as strong catalysts for the stock.

Disclosure/Disclaimer:

Rich Howe owns shares of HHH but plans to sell them to buy HAVAS shares. All expressions of opinion are subject to change without notice. All published emails/articles/correspondence is provided for informational purposes. We do not warrant the completeness or accuracy of this content. Please do your own due diligence and consult with an investment adviser before buying or selling any stock mentioned on www.stockspinoffinvesting.com.