Just a quick update on GTSI. I’ve mentioned several times the possibility of a higher bid coming in, given 1) the sale price is below NCAV and 2) the presence of several parties who had made offers for the company just below the sale price.
Whenever a merger I’m interested in is announced, the first thing I do with the solicitation is go straight to the “background” section. I find reading the history and motivations behind the merger always makes for fascinating reading. So when the merger for GTSI came out, I naturally immediately turned to the background section. And boy, I was not disappointed.
First, a housekeeping note- sorry for the lack of ideas. I’ve been absolutely swamped at work and haven’t had time to investigate new ideas. I’m not normally one for emoticons, but if I were, I’d put a sad face here.
2011 was one of the worst years on record for deep value strategies. Despite a late run by a couple of my stocks (thank you, Ansell!), my portfolio will end the year ~6% down. It’s pretty disheartening to end any year down, but overall I think the year was pretty successful for me as an investor. I’ve only been investing for 3.5 years, and I’m continuing to evolve and improve as an investor- I think that’s pretty clear if you compare the depth and level of analysis from posts at the beginning of the year to recent posts- and given that I plan on managing much larger sums in the future, that’s pretty important. I’m also thrilled with my portfolio today and excited for its prospects heading into 2012.
That said, here are my top 5 holdings heading into the new year- you’ll notice quite a few similarities between these and my top 5 net/net posts earlier.
This post discussing insider buying over at barel karsan mentioned TAIT had recently seen some insider purchasing activity and that the author held a position in the stock. I’m a big fan of the site and have happily coat-tailed him into several investments, so I thought I’d check the company out.
I liked this post over at gurufocus quite a bit. It had a nice mention of my blog in it, so I thought I’d come out of my blogging hibernation with a post talking about my four favorite net nets in my portfolio. Together, these stocks make up a very, very significant percentage of my portfolio- combined, they make up around 55% of my portfolio.
Sorry for the frequent posts on GTSI (I feel like this is becoming the GTSI investing site!), but there has been quite a good bit of action and news coming out on it lately. Anyone interested in the company should definitely go check this interview and shareholder activism letter out over on barelkarsan.com. Let’s hope his views start to get implemented!
Following up on yesterday’s post on GTSI (and my original investment thesis here), you can see this nice post over on Frank Voison discussing GTSI’s new share buyback. The only quibble I’d have with the article is he says he made a mistake not selling GTSI at $8-ish late last year- I don’t think this was a mistake. The company’s tangible book value was materially higher, and there was reason to believe the company was worth at least 20-30% more than the offer price. No one can see into the future, and it was impossible to see the SBA sanction coming. There was also a nice article over on barelkarsan.