Jan. 22 at 7:04 PM
$MEI — Not a popular tape. That’s why we looked.
At ~
$7.50, MEI is trading near tangible book value (~
$7.83) and about 0.4x book, which is “priced for failure” territory. Yet mgmt reaffirmed FY26 guidance (sales
$900M–
$1B; adj EBITDA
$70–
$80M) and expects positive free cash flow for the full year.
Technicals: a repeated floor at
$7.10 (accumulation-type behavior), reclaimed 200DMA (~
$6.92), and improving momentum signals. Thesis is simple: you’re paying a disaster price for a business that may only be having a difficult year.
Full breakdown: www.woodworth.fund/news/methode-electronics-mei-a-short-circuit-or-just-a-blown-fuse
#MEI #ValueInvesting #Contrarian