Stock Spin-off Case Study: Nuvectra - Microcap Spin-off Trading Below Net Cash Overview On March 13, 2016, Integer (NYSE: ITGR), formerly known as Greatbatch, Inc, spun off its neuromodulation business, Nuvectra Corporation (Nasdaq: NVTR). Integer’s core business was outsourced medical device manufacturing. Nuvectra, which was known as QiG Group, was a small money [...]
Liberated Syndication (LSYN) I closed out this recommendation earlier in April 2018 at a price of $1.57 (closing price today was $1.60). From the time of my initial recommendation in December 2016, LSYN’s stock price increased 257% from $0.44 to $1.57. For full details on why I’m closing out my recommendation, see my recent post: [...]
For background on the Nuvectra investment, please refer to my original investment case here: https://stockspinoffinvesting.com/micrcap-stock-spinoff-trading-below-book-value/ Additionally, there is a very good Value Investor Club write up here: https://www.valueinvestorsclub.com/idea/NUVECTRA_CORP/138336#description Short Background Nuvectra is a neuromodulation platform that was spun out of Greatbatch earlier this year. Nuvectra currently has a market cap of ~$60mm and net [...]
Nuvectra (Ticker: NVTR) first piqued my interest because it is a microcap spinoff and microcap spinoffs generate huge returns in year one. See the chart below: However, you have to be extremely careful investing in spinoffs and especially microcap spinoffs. While the average performance is extremely attractive, there is huge dispersion in returns. As an [...]