Portfolio Manager
Contributor's Links: Harper Asset Management, LLC

Brian Harper, CFA, founded and has managed Harper Asset Management, LLC since 2001. Harper Asset Mgmt, LLC is a boutique investment advisor, managing separate accounts for private clients. We are value investors, and seek to generate strong risk-adjusted returns by focusing on micro and nano ... more

ALL CONTRIBUTIONS

Innovative Food: Beaten Down Former Growth Darling Throwing Off Significant Cash
Innovative Food is a specialty distributor of high-quality foods to higher-end chefs and kitchens. Shares are beaten down and the stock trades at a 18% EBIT/EV yield. At a mere $12.5 mil market cap, IVFH is well under the radar of most investors.
Read

Comments

Latest Comments
Innovative Food: Beaten Down Former Growth Darling Throwing Off Significant Cash
1 year ago

$IVFH has continued growing rapidly, has expanded margins, and on a ttm basis has earned around 16 cents. They'll be a full tax payer in about 2 years, so that will be a hit to earnings, but I still think they're worth $1.60-1.75 at present.

In this article: IVFH, USFD
Innovative Food: Beaten Down Former Growth Darling Throwing Off Significant Cash
2 years ago

I can understand that concern, thus the question is, what would the company be expected to earn in the average year? They were 1/6th the size during the last recession, which was fairly severe, but managed to stay breakeven, and revenue was flat from 06-08, so the biz was fairly resilient. At an enterprise value of about $13 million, against $4 mil in current EBITA, my response is, who cares? The stock is extremely cheap, and the business as judged by ROIC is excellent.

In this article: IVFH, USFD
Innovative Food: Beaten Down Former Growth Darling Throwing Off Significant Cash
2 years ago

I think it's quite a different situation than some component maker to AAPL who has massive power over suppliers. I don't think there are any great alternatives for USFD, and the switching costs would be very high as many of the end customers have relationships with IVFH. USFD is highly unlikely to try to supply these small market, niche ingredients which IVFH provide. As a specific product gets larger, USFD ultimately takes it in house and IVFH abandons the category. And its a great biz for USFD, as the business is like a royalty, and very asset lite. $AAPL $USFD $IVFH

In this article: IVFH, USFD
Innovative Food: Beaten Down Former Growth Darling Throwing Off Significant Cash
2 years ago

Open to any thoughts/feedback, and let me know if you are a significant shareholder

In this article: IVFH, USFD
1 to 4 of 4 comments

STOCKS I FOLLOW

BRK-B BERKSHIRE HATHAWAY CLASS B
CNRD CONRAD INDS INC
CTG Computer Task Group, Incorporated
ENZN Enzon Pharmaceuticals, Inc.
ETM Entercom Communications Corporation
GLCH Gleacher & Company Inc.
HEWA HEALTHWAREHOUSE.COM
HMG HMG/Courtland Properties, Inc
IVFH Innovative Food Holdings, Inc.
NTIP Network-1 Technologies, Inc.
SPCO STEPHAN CO
SPLP Steel Partners Holdings LP
SPRS SURGE COMPONENTS INC
SSNT
TNRK TNR TECHNICAL INC
Load More

TWEETS

PERSONAL BLOG

Latest Posts

Work Experience

Chief Investment Officer
Harper Asset Mgmt, LLC
September 2001 - Present (17 years 11 months)

Founder and president of value-oriented investment management firm, focused on HNW area. Manage investment portfolios for private clients in separate accounts. Bottom-up, fundamental approach, target purchases demonstrate downside protection and are purchased at significant discount to estimated intrinsic value. Research process includes quant screens/52 week low list/corporate reorgs for ideas, and company and competitor financial filings for fundamental research.

Financial Advisor
Morgan Stanley
June 1999 - June 2001 (2 years 1 month)

Performance Analyst and researcher within four-person wealth management team. Managed Advent portfolio management and performance tracking database for client reporting during a time in which performance reporting was rare on retail side. Evaluated and selected money managers, analyzed and rebalanced overall client asset allocation. Managed syndicate program, devising and optimizing strategies to increase allocations of hot issues.

Education

Rollins College
BS
1995 / 1999
Economics Activities and Societies: Cross Country, Tau Kappa Epsilon
The Lovett School
1991 / 1995
Activities and Societies: Varsity Cross Country

Publications