Gamco Investors Chairman and CEO, Mario Gabelli, is one investor who has made his fortune in the stock market and now shares his top stock picks for the year. Appearing on an interview with the Wall Street Journal the investor aired his bullish sentiments on Graham Holdings Co (NYSE:GHC) Cable and Wireless Communications Plc and Post Holdings Inc. (NYSE:POST) as his top picks for the year.
Gabelli is keeping a close eye on Graham Holdings Co (NYSE:GHC) after the diversified media company announced plans to spin off its cable TV business. A move that is expected to unlock value to shareholders. Formerly the Washington Post, Graham Holdings after the spinoff will be left with the education business Kaplan
“That company has cash and assets worth almost $2000, and they are doing a lot of financial engineering’s; this one I like. They are going to spin off the cable business; somebody else is going to buy that. They are going to be left with a larger amount of assets and interesting dynamics,” said Mr. Gabelli
The John Malone Empire continues to be exciting to Gabelli; the cable Guru is believed to be in control of companies worth $120 billion with one of the company being Cable & Wireless. Little known Cable and Wireless Communications Plc provides telecommunications solutions in Latin America and the Caribbean
According to Gabelli Cable and Wireless Communications Plc is in the process of finalizing a deal for Columbus International as the company seeks to enhance its growth in key operating regions. John Malone is an investor in Columbus with a 13% market share. The ongoing boom in the Caribbean and Latin America in wireless and cable business according to Gabelli should be one of the key drivers for Cable and Wireless Communications going forward
Gabelli is also holding his fingers crossed on consumer packing goods company Post Holdings Inc. (NYSE:POST), which he maintains could be an interesting play for investors going forward
“Post Holdings Inc. (NYSE:POST) was spun off on February of 2012, the stock is forty, they have 60 million shares fully diluted that’s a 2.4 billion market cap they have $3.8 billion in debt. […] They have made 12 acquisitions including the biggest one recently Michael Foods. Michael Foods sells you egg whites and egg products, and that’s an interesting business put together,” said Mr. Gabelli
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