Stock price when the opinion was issued
ROIC is 7.7%, WACC is 10%. So right now, they're not generating the profitability he likes to see. It will work through over time so that at some point (from 2-5 years), they'll be profitable. Gets you into the private equity world. US deregulation should enhance M&A activity, especially if the Fed cuts another half a point. Good hold for the long term.
He owns BN instead.
Public version of private equity business model.
Subject to volatility as a result of public listing.
Would prefer private equity investments in "private" investment vehicle.
Higher interest rates will be tough for debt involved in business model.