Medallion Financial Corp. (NASDAQ:MFIN)

Investors are so focused on the disruption to the cab business being done by the likes of Uber and Lyft that they’re missing the turnaround in the works at lender Medallion Financial. I suppose it doesn’t help that their name (for now) still is “Medallion”-- as in taxi medallion. Those taxi medallion loans are at the lowest level since 2003 and the company has been working hard to reduce their medallion exposure while diversifying into more profitable consumer lending (particularly loans that finance RVs, boats, motorcycles, trailers, and home improvements) and commercial mezzanine lending. It looks like 2017 was a big turnaround year for them: notably, in May 2017, the Chief Credit Officer/Chief Operating Officer as well as a member of the board resigned. Also notable is that since the beginning of June 2017, when the stock was at $2.60, the stock has risen to $6.50. As of now: book value per share is $10.63. Market cap is $160M, but enterprise value is $480M and they’re at a price/book of 0.61. Insiders own 16% of shares; the lender is founder-led in president and board member Andrew Murstein (54 years young) who is also the bank’s largest shareholder. Outperform.

UBER will take'em out of business