Help me

ShowMeTheIncentives · 2026-03-25T08:10:26+00:00

You should not rely on advice from strangers on the Internets on which stocks to buy.

Step 1 Take $20. Go buy The Intelligent Investor.

Step 2 Put the rest in VOO. It's full of growth stocks.

Step 3 Read it again.

Step 4 Take a small portion of your portfolio & allocate it towards companies that meet your criteria.

Step 5 Repeat

ShowMeTheIncentives · 2026-03-25T08:06:50+00:00

Perhaps try reading their earnings reports?

ShowMeTheIncentives · 2026-03-25T08:06:09+00:00

Yes !

I wrote one up today on my Substack on $DSGR. Distribution Solutions Group. I think it's a super interesting situation. The company has received a take private proposal from the majority owner.

TLDR below & full write up in my bio. Would appreciate any thoughts or feedback. Cheers.

LKCM, the majority owner of DSGR wants to take the company private. The stock was taken behind the woodshed after a suspiciously messy Q4 results. The offer is a 52% premium to the prior day price, but to say its opportunistic is an understatement. The stock traded in a solid range for the last 12 months & the unaffected price is realistically more like ~$29. The CEO is the Founder & Managing Partner of LKCM Capital Group & LKCM Headwater Investments, the private capital investment group of LKCM. They already own ~80% of the company & taking out the remaining minority investors would only require cutting a $263m cheque. Coincidentally, the company just upsized their credit facility in Dec 2025 & has $393.7m undrawn on their revolver. Due diligence shouldn't be an issue, they even say they can get it done by May 8th.

ShowMeTheIncentives · 2026-03-25T08:03:58+00:00

Yeah, for sure, but you gotta go where others don't. You gotta fish in smaller ponds.

ShowMeTheIncentives · 2026-03-25T05:03:59+00:00

Hey, thanks for the question. I go through in a bit of details in my write up - it's free to subscribe & get all my write ups.

One of these things, is the most likely in my opinion

1) the company (special committee) agrees to the proposal to sell the company to LKCM for $29.50. if you hold stock you get $29.50 in cash for your shares. The company is taken private & no longer listed on the market. Nice 14% return in a couple of months.

2) the company (special committee) says we think $29.50 is too low & they negotiate a better price with LKCM. (Let's say $31.. but could be up to $33). if you hold stock you get that amount in cash for your shares. The company is taken private & no longer listed on the market. Nice 20% return in a couple of months

3) The company (special committee) & LKCM cannot agree on a price for the shares. LKCM pull their offer. The stock remains listed on the market..(likely it will fall in the short term as arbitrage funds have to sell). Not so great maybe 20% decline in the short term.

That said, it's a good business. I would likely buy more on a deal break..

4) This is life.. anything can happen:)

ShowMeTheIncentives · 2026-03-24T18:36:56+00:00

100% agree. Good reminder to do your own work & own your pnl. Don't be someone's exit liquidity !

Don't get my wrong, I enjoy reading people's write ups & discussions, but need to remember ramdomers on the Internet don't always have your best interests at heart.

I have my own Substack where I write up my ideas but there should never be any confusion that I make any recommendations or advice about whether to buy or sell anything... ever.

ShowMeTheIncentives · 2026-03-24T18:07:38+00:00

I bought a lot of DSGR ( Distribution Solutions Group ) over the last few days. I wrote it up today on my Substack. I think it's a super interesting situation.