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Stock impact report

UPDATE 1-Starboard takes new position in KAR Auction Services [Reuters]

KAR Auction Services, Inc (KAR) 
Last kar auction services, inc earnings: 2/18 05:00 pm Check Earnings Report
Company Research Source: Reuters
UPDATE 1-Starboard takes new position in KAR Auction Services - Reuters 1 Min Read (Adds details on investment) NEW YORK, April 16 (Reuters) - Activist investment firm Starboard Value has taken a new position in KAR Auction Services , the firm’s founder Jeffrey Smith said at a conference on Tuesday. He called the company’s valuation “compelling” at the 13D Monitor Active-Passive Summit. “We believe KAR is a tremendous opportunity,” Smith said, adding that he thinks there is plenty of room for margin improvement and expects that portions of the business can be spun off in the near term. Last year, KAR said it would spin out a salvaging business, allowing Starboard’s investment to focus on the company’s used car auctions. “They are not commodities, it’s not easily replicable,” Smith said. “They are not tubes of toothpaste.” The stock rose 6 percent in premarket trading after Smith spoke. (Reporting by Svea Herbst-Bayliss and Jessica DiNapoli Editing by Susan Thomas) All quotes delayed Show less Read more
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