Published on 20 Jan 2022 on Insider Monkey via Yahoo Finance

10 Value Arbitrage Stocks Sabrepoint Capital is Buying

In this article, we present the list of 10 Value Arbitrage Stocks Sabrepoint Capital is Buying. You can skip our detailed analysis of George Baxter's history, investment philosophy, and hedge fund performance, and go directly to 5 Value Arbitrage Stocks Sabrepoint Capital is Buying.

George Baxter’s Sabrepoint Capital is a Dallas, Texas-based hedge fund that believes alpha generation to be a zero-sum game in which you must have a competitive advantage over other investors to be successful. Sabrepoint believes those advantages can come in one of three forms: informational, structural, and analytical.

The main investment strategy employed by the fund is value arbitrage, into which 30%-115% of its gross exposure will be devoted at any one time. Each of the fund’s value arbitrage targets must trade for at least 30% beneath its intrinsic value and have a forthcoming catalyst within the next 9-18 months that could allow it to close that gap. In its quest to gain an informational and analytical edge over other investors, the fund also focuses its investments on lesser-known companies for which limited public information and analysis is available.