Am I doing the math right? I am extremely convinced about this sum of the parts bet with Tredegar $TG. What am I missing? Am I blindsided??

u/Many_Penalty_347 · Reddit — r/ValueInvesting · January 04, 2026 at 05:48 · ⬆ 9 pts · 💬 7 comments  | View on Reddit ↗
AI Summary

Original Reddit post

The author lays out a 2026 sum-of-the-parts long case for Tredegar at about $7.36, citing an undervalued aluminum business, a hidden surface-protection cash cow, tariff enforcement, and Gabelli activism.

TG — LONG The author argues Tredegar is undervalued on a sum-of-the-parts basis: the aluminum unit's $48M EBITDA at 6x is worth $288M, roughly the prevailing enterprise value, while the surface protection unit's $25M EBITDA at 6x adds $150M, implying about 50% upside. Catalysts include tariff enforcement reducing cheap import competition and activist Gabelli potentially forcing value realization. The author frames 2026 as the investment horizon.

Total enterprise value with discounted prices: $438M a 50% upside.

Score 9
Comments 7
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Ideas
u/Many_Penalty_347 Reddit r/ValueInvesting
SOTP undervaluation plus tariff and Gabelli catalysts
The author argues Tredegar is undervalued on a sum-of-the-parts basis: the aluminum unit's $48M EBITDA at 6x is worth $288M, roughly the prevailing enterprise value, while the surface protection unit's $25M EBITDA at 6x adds $150M, implying about 50% upside. Catalysts include tariff enforcement reducing cheap import competition and activist Gabelli potentially forcing value realization. The author frames 2026 as the investment horizon.
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This Reddit post, published January 04, 2026, features u/Many_Penalty_347 discussing TG. 1 trade idea extracted by AI with direction and confidence scoring.

Speakers: u/Many_Penalty_347  · Tickers: TG