To Find Small Caps, Don't Neglect the Large: Spin-offs for Fun and Profit
by John Deysher
One of the most lucrative areas of investing in recent years is spin-offs.
Many diversified companies are electing to spin off parts of their businesses as a tax-efficient way of enhancing shareholder value. Once freed from the parent, managers have greater freedom to pursue ideas to drive operating performance and higher share prices.
In this article
- What Is a Spin-Off?
- The Spin
- Spin-Cycle: How Have They Fared?
- How Do You Find a Spin-off?
- What to Look for
- Conclusion
Share this article
A spin-off often fits into the small- or mid-cap stock category. Yet many small- and mid-cap investors often overlook them, since spin-offs often originate with large companies.
To read more, please become an AAII Registered User or CLICK HERE.
