Dear subscribers of Cannibal Stocks,
I think about Dillard’s every day. Not the ending. The middle.
The whole thing took more than fifteen years, and for most of them the stock did nothing. If you had owned it, you would have felt like a fool. But because the price stayed low, the family could remove 80 percent of the shares at those prices. The low price was not the problem. The low price was what made it possible. Then, in a short window, the stock went from under 30 to over 600.
I have to be honest with you. I doubt I would have lasted. Fifteen years of a flat stock. Fifteen years of writing to you about a department store and asking you to be patient. It is easy to admire that kind of patience from the finish line. Living through it is a different thing.
The good news is that I do not have to. The market does not know what it owns. It never did. I found two companies that have already bought back half of their shares, and the market still hates them. Still ignores them. Still cheap, still making the same cash, still buying. The slowest and loneliest part is already done.
The price is not at the all time low. I missed that, and I am not going to pretend I didn’t. But when half of the work is behind you, you do not need the low. You need the company to keep doing what it already does, and you need the market to keep not caring. If both hold, the investment can still be phenomenal.
I bought both. On my math, each can get to 80 percent of shares retired in about six years. Not fifteen. Six.
The names, what I paid and what would make me sell are below, for paid subscribers. Founding members also get every buy and every sell the same day I make it. On October 1 the annual price goes from $159 to $199. Join before then and you keep $159 for as long as you stay.
