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Hedge Fund Trade of the Week: Ingram Micro

Tuesday, 28 Dec 2010 | 6:12 PM ET

Where’s the fast money finding opportunity? In this regular feature Anthony Scaramucci aka The Hedge reveals his latest greatest pick!

This week’s trade is Ingram Micro, a wholesale provider of technology products. “As a vital link in the technology value chain, Ingram Micro creates sales and profitability opportunities for manufacturers and solutions providers,” says the company’s website.

Take a look at some of the stats:

Name: Ingram Micro (IM)
Sector: Technology
Industry: Computer Hardware
Based in: Santa Ana, CA
Market Cap: $2.9 billion
52-week high: $18.89
52-week low: $14.72

Scaramucci selected this stock as his hedge fund trade of the week as a value play – with value hedgies including David Einhorn, George Soros and Donald Smith all owning this name.

”It has $7.36 in cash or net negative debt,” he says and “it’s been profitable every quarter since it went public due to a great management team.”

Also he says the firm has strong competitive position and could be taken out by a private equity buyer though that’s not his focus.

Instead he’s looking at a buyback driving shares.

”We believe management is going to deploy $400 million in share repurchases over 1 year period. That should catalyze value,” he says.

All told, Scaramucci thinks this stock has 30-50% upside over the next 12-18 months.

Hedge Fund Trade of the Week
Ingram Micro is the stock to watch this week, says Anthony Scaramucci, SkyBridge Capital.

Click here to check out other Hedge Fund Trade Of The Week posts

* Anthony Scaramucci runs SkyBridge Capital, a leading alternative asset manager with more than $7 billion under management. Every week on Fast Money, Scaramucci, aka 'The Hedge', takes you behind the hedges, giving you an unprecedented look at the names getting the most chatter amongst the hedge fund community.



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Trader disclosure: On December 28th, 2010, the following stocks and commodities mentioned or intended to be mentioned on CNBC’s "Fast Money" were owned by the "Fast Money" traders; Funds Managed By Dennis Gartman Own Gold; Funds Managed By Dennis Gartman Own Wheat; Funds Managed By Dennis Gartman Own Soybeans; Funds Managed By Dennis Gartman Own Crude Oil; Funds Managed By Dennis Gartman Are Short Euro; Funds Managed By Dennis Gartman Own (NSC); Funds Managed By Dennis Gartman Own (MOS); Funds Managed By Dennis Gartman Own (RJA); Funds Managed By Dennis Gartman Own (SWC); Funds Managed By Dennis Gartman Are Short (DB); Terranova owns (UPL), (C), (PEP), (VRTS), (OXY), (GS); Pete Najarian owns (BBY) calls; Pete Najarian owns (C) stock; Pete Najarian owns (F) bonds; Pete Najarian owns (GE); Pete Najarian owns (MSFT) call spreads; Pete Najarian owns (MS); Pete Najarian owns (NKE) call spreads; Pete Najarian owns (PFE); Pete Najarian owns (RSX)

JOE TERRANOVA
Terranova is Chief Market Strategist of Virtus Investment Partners, LTD
Virtus Investment Partners Owns More Than 1% Of (ABAX)
Virtus Investment Partners Owns More Than 1% Of (ALK)
Virtus Investment Partners Owns More Than 1% Of (AMKR)
Virtus Investment Partners Owns More Than 1% Of (CCG)
Virtus Investment Partners Owns More Than 1% Of (CASS)
Virtus Investment Partners Owns More Than 1% Of (CSVI)
Virtus Investment Partners Owns More Than 1% Of (EPR)
Virtus Investment Partners Owns More Than 1% Of (EXR)
Virtus Investment Partners Owns More Than 1% Of (FCFS)
Virtus Investment Partners Owns More Than 1% Of (IGE)
Virtus Investment Partners Owns More Than 1% Of (KRC)
Virtus Investment Partners Owns More Than 1% Of (LDR)
Virtus Investment Partners Owns More Than 1% Of (LPHI)
Virtus Investment Partners Owns More Than 1% Of (MGRC)
Virtus Investment Partners Owns More Than 1% Of (NRCI)
Virtus Investment Partners Owns More Than 1% Of (DBV)
Virtus Investment Partners Owns More Than 1% Of (XLB)
Virtus Investment Partners Owns More Than 1% Of (XLV)
Virtus Investment Partners Owns More Than 1% Of (XLP)
Virtus Investment Partners Owns More Than 1% Of (XLY)
Virtus Investment Partners Owns More Than 1% Of (XLE)
Virtus Investment Partners Owns More Than 1% Of (XLI)
Virtus Investment Partners Owns More Than 1% Of (XLK)
Virtus Investment Partners Owns More Than 1% Of (XLU)
Virtus Investment Partners Owns More Than 1% Of (SUBK)
Virtus Investment Partners Owns More Than 1% Of (WDFC)
Virtus Investment Partners Owns More Than 1% Of (YDNT)
Virtus Investment Partners Owns More Than 1% Of (CLB)
Virtus Investment Partners Owns More Than 1% Of (DRYS)

TODD GORDON
Gordon is long U.S. Treasuries

BRIAN KELLY
Accounts Managed by Kanundrum Capital Own (ANDE)
Accounts Managed by Kanundrum Capital Own (BG) calls
Accounts Managed by Kanundrum Capital Own (DE) call spreads
Accounts Managed by Kanundrum Capital Own (JJG)
Accounts Managed by Kanundrum Capital Own (JJC)
Accounts Managed by Kanundrum Capital Own (GLD)
Accounts Managed by Kanundrum Capital Own (GDXJ) calls
Accounts Managed by Kanundrum Capital Own (TBT)
Accounts Managed by Kanundrum Capital Own USD
Accounts Managed by Kanundrum Capital Own (BBT)
Accounts Managed by Kanundrum Capital Own (FCX)
Accounts Managed by Kanundrum Capital Own (SLV)
Accounts Managed by Kanundrum Capital Own (MCP)
Accounts Managed by Kanundrum Capital Own (LYC)
Accounts Managed by Kanundrum Capital Own (AU)
Accounts Managed by Kanundrum Capital Are Short the Euro
Accounts Managed by Kanundrum Capital Are Short the Yen
Accounts Managed By Kanundrum Capital Own (MCP) and (MCP) put spreads

JEFF HARTE
Sandler O'Neill Has Received Investment Banking Compensation From (BAC), (C), (JPM) In Past 12 Month
Sandler O'Neill Expects To Receive/Seek Investment Banking Compensation From (BAC), (BK), (C), (JEF), (JPM), (NTRS) In Next 3 Months
Sandler O'Neill Has Received Non-Investment Banking Compensation From (BAC), (C), (GS), (JPM), (MS), (NTRS)
(BAC), (BK), (C), (GS), (JPM), (MS), (NTRS) Is A Client Of Sandler O'Neill (Non-Investment Banking Securities-Related Services)
(BAC), (C), (JPM) Was An Investment Banking Client Of Sandler O'Neill
Sandler O'Neill Is A Market Maker In (NTRS)

PETER BOOCKVAR
Boockvar Is Long Commodities Through ETFs
Boockvar Is Short Treasuries Through ETFs

ANTHONY SCARAMUCCI SOT
Skybridge Capital Owned (RAI) on 6/16/2010

JOSH BROWN
Brown And His Clients Own (MOO), (DBA)

SCOTT NATIONS
Scott Nations has no disclosures

GE is the parent company of CNBC
NBC Universal is the parent company of CNBC



CNBC.com with wires.

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