May. 17 at 2:21 PM
$EPC Loaded up on call options on Friday for a swing play or potential buyout here. Hit the all-time low this week since spinning off from
$ENR in 2015. It's traded down 8 days straight (on heavier than normal volume, with 9M shares or 20% of the float traded) after reporting earnings and reiterating FY26 guidance with YoY organic sales expected to improve in 2H relative to 1H. 5.5 days to cover and nearly 13% of the float shorted, for a company that is rationalizing their portfolio to be a suncare (Banana Boat & Hawaiin Tropic) and shaving (Schick, Edge, Bulldog, & Cremo) play (just recently sold their feminine care business for
$340M).
If I was on the corporate development team at
$CHD I would be salivating. Instant supply chain synergies, expanded distribution, elimination of duplicate public company costs, and likely better leverage (pricing, shelf space, and terms) with retailers.
Looking for
$20/share at a minimum. We will see.
