Topic: How To Invest

Q: Pat, what do you think about the prospects of Hillman Solutions (symbol HLMN) going forward? Thank you.

Article Excerpt

A: Hillman Solutions Corp., $9.49, symbol HLMN on Nasdaq (Shares outstanding: 196.0 million; Market cap: $2.0 billion; www.hillmangroup.com), provides hardware-related products and merchandising services to home improvement and other retailers across North America. Founded in 1964, the company offers more than 112,000 products to its 26,000 retail customers. Those include Home Depot (symbol HD on New York), Tractor Supply (symbol TSCO on Nasdaq), and Ace Hardware. In July 2021, Hilman combined with Landcadia Holdings III Inc., a special purpose acquisition company (SPAC). SPACs are a specialized kind of IPO (Initial Public Offering, or new stock issue). One key difference is that SPACs, also referred to as “blank-check companies,” raise money from investors without providing a detailed business plan. The SPAC goes through an IPO-like process, raising some money and getting listed on an exchange. The SPAC’s next goal is to find another business to buy, usually within two years. Then the two companies merge, giving the purchased company a relatively quick stock exchange listing…