Morgan Dempsey Capital Management LLC Reduces Stake in Polished.com Inc

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On August 15, 2023, Morgan Dempsey Capital Management LLC executed a significant transaction involving Polished.com Inc. The firm reduced its stake in the e-commerce company, which specializes in home furnishings and appliances. This article provides an in-depth analysis of the transaction, the profiles of the guru and the traded company, and the potential implications of the trade.

Details of the Transaction

The transaction saw Morgan Dempsey Capital Management LLC reduce its holdings in Polished.com Inc by a substantial 98.79%, offloading 3,688,336 shares. The shares were traded at a price of $0.1329 each. Following the transaction, the firm held a total of 45,032 shares in Polished.com Inc. However, the traded stock currently holds no position in the guru's portfolio, representing only 0.04% of the guru's holdings in the traded stock. The trade had a -0.14% impact on the guru's portfolio.

Profile of the Guru

Morgan Dempsey Capital Management LLC is a renowned investment firm based in Milwaukee, Wisconsin. The firm manages an equity portfolio worth $350 million, with 117 stocks under its management. The firm's top holdings include Gilead Sciences Inc, McDonald's Corp, Merck & Co Inc, Exxon Mobil Corp, and Morgan Dempsey Large Cap Value ETF. The firm's investment philosophy is primarily focused on the Healthcare and Energy sectors. 1692295514977992704.png

Overview of Polished.com Inc

Polished.com Inc, trading under the symbol POL, is a US-based e-commerce company specializing in home furnishings, appliances, and related products. The company's portfolio includes renowned brands such as Bosch, Whirlpool, GE, Maytag, LG, Samsung, Sharp, and Kitchen Aid, among others. Since its IPO on July 31, 2020, the company has achieved a market cap of $14.343 million. 1692295496497889280.png

Financial Performance of Polished.com Inc

As of August 17, 2023, Polished.com Inc's stock price stands at $0.136, with a PE percentage of 13.60. However, due to insufficient data, the GF Value and Price to GF Value cannot be evaluated. Since the transaction, the stock has gained 2.33%, but it has seen a significant drop of 98.55% since its IPO and a year-to-date decrease of 78.12%.

Evaluation of Polished.com Inc's Future Performance Potential

Polished.com Inc's future performance potential, as indicated by the GF Score, is 39/100. The company's Financial Strength is ranked 5/10, while its Profitability Rank is 3/10. However, the company's Growth Rank and GF Value Rank are both 0/10, indicating a lack of growth and value. The company's Momentum Rank is 4/10.

Key Financial Ratios of Polished.com Inc

Polished.com Inc's Piotroski F-Score is 5, and its Altman Z score is 0.86. The company's cash to debt ratio is 0.09, and its interest coverage is 2.94. The company's ROE and ROA are 1.63 and 0.39, respectively.

Conclusion

In conclusion, Morgan Dempsey Capital Management LLC's decision to reduce its stake in Polished.com Inc is a significant move that could have implications for both the guru and the traded company. Despite the company's low GF Score and financial ratios, it's crucial to monitor the stock's performance and the guru's future transactions. As always, investors are advised to conduct their own comprehensive research before making investment decisions.

Disclosures

I/We may personally own shares in some of the companies mentioned above. However, those positions are not material to either the company or to my/our portfolios.