Hedgeye CEO Keith McCullough is adding Wheels Up to the long side of Investing Ideas. Below is a brief note.
There are plenty of longs we like that are on sale this morning - the art in this is having the patience to wait for either beta (SPY) to signal low-end of its Risk Range or a specific stock with a catalyst to do the same (before SPY does!)...
Wheels Up (ASPL) is a great example of that with the SPAC trading back towards the all-important $10 level.
We also had a catalyst with Industrials analyst Jay Van Sciver breaking the idea down for Institutional Research subscribers at 1230 PM (today).
Here's was his invite:
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Please join us for a look at the long side of the ASPL SPAC targeting Wheels Up today at 12:30PM EST. We continue to see SPACs offering an asymmetric return near their redemption price, and ASPL qualifies. We suspect many investors have looked past this one because it isn’t related to the ‘hot’ areas like EVs or ESG. The SPAC itself has an unpalatable name. Unlike some painfully immature SPAC targets, Wheels Up is building on an existing robust brand, generating significant revenue, and executing on an effective strategic blueprint. It has well known investors and a qualified management team. We also see it is targeting a large TAM with few effective competitors. |
Buyem on red,
KM
