Facebook and GSV Capital on the Slant

Jeff Reeves at The Slant did a write-up on Facebook ($FB) and GSV Capital ($GSVC) that featured some comments from my last newsletter:

You’ve heard of Facebook, but you’ve probably never heard of GSV Capital.

But if I told you GSV Capital is a major Facebook investor gapped up almost 50% in the last month, you’re probably a bit more interested. Right?

One investor who wasn’t surprised was Charles Sizemore, who touted GSV Capital way back in January right here on the The Slant.

Here’s what he had  to say in his latest issue of the Sizemore Investment Letter now that he’s been validated in his call:

“The market noticed the big ‘free money’ sign hanging in front of GSV Capital’s door. After languishing for all of 2013, GSV’s shares have risen by more than half in the past month. And I expect further gains of 50%-100% in the coming 12 months.

The good news is that GSV is still cheap. Its book value as of June 30 is estimated to be about $250 million. Its market cap, even after the run-up, is still just $227 million. So, GSV is trading at a discount to book of about 9%, and again, I expect that book value to be revised upward as investor enthusiasm grows for Twitter.

If you haven’t bought shares yet, it’s not too late. But do be careful. GSVC is a tiny company with a low average trading volume. Use a limit order and average into your position over the course of a few days or weeks.”

Read full article here.

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