Long Position on FRG @ $35.50 on 1/28/2021 (Momentum)

Franchise Group, Inc. (FRG) operates as a retailer, franchisor operator, and acquirer of franchised and franchisable businesses. It operates through 4 segments: Liberty Tax, Buddy's, Sears Outlet, and Vitamin Shoppe.

The company provides tax preparation services in the United States and Canada; and franchises and operates rent-to-own stores that lease durable goods, such as electronics, residential furniture, appliances, and household accessories to customers.

It also operates as a retailer primarily focuses on providing customers with in-store and online access to purchase new, one-of-a kind, out-of-box, discontinued, obsolete, used, reconditioned, overstocked, and scratched and dented products in various merchandise categories, including home appliances, mattresses, furniture, and lawn and garden equipment, at prices that are lower than list prices; and specialty retailer of vitamins, minerals, herbs, specialty supplements, sports nutrition, and other health and wellness products.

The company was formerly known as Liberty Tax, Inc., and changed its name to Franchise Group, Inc. in September 2019.

Share prices should be moving higher as Franchise Group CEO Brian Kahn disclosed that he had purchased 757,000 shares of company stock at $34.95 per share on January 26 for a transaction value of $26,457,150.

Entry Point: $35.50

Stop Loss: $33.75

Trading Range: $5.75 - $36.40

Target Price: $39.00

Updates

3/10/2021 9:49:13 AM

FRG closed at $40

Position closed on 3/10/2021 at price of $40.00 with a 12.68% gain in 41 days.

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