Non-BiQAP Trade Notification for 03/19/26

Trade Details

Added to my position in Pitney Bowes (PBI) via shares and options.

Trade Rationale

As some members may be aware, we follow several non-biotech names across several key sectors at BiQ. These are typically discussed in BiQ Premium Chat; I don't usually publish articles about them. However, as there has been growing interest in my non-biotech holdings, I've decided to try putting out an article to see if there's enough member interest outside of chat.

In general, I tend to focus on small-cap growth stocks at BiQ, and understandably, most investors wouldn't consider PBI to fall into this category. I first entered when the stock was trading at around $7 and closed out my position at around $12. However, I have recently started rebuilding a position for the following reasons:

• The company has been actively buying back shares at around $10, which limits downside risk from these levels.
• Projected FCF for 2026 is around $350M, or roughly just under $2/sh. This puts the Price multiple at around 5-ish, which looks reasonably attractive to me.
• The recent hiring of Steve Fischer to run the Pitney Bowes Bank is a bullish signal for me. I don't think a heavy-hitter like Mr. Fischer would come on board unless he sees an opportunity to drive growth in the segment.
• Relatively new CEO Kurt Wolf is also a heavy-hitter and well-known for engineering strategic turnarounds. He fought a protracted, multi-year proxy battle to win control of PBI. His base salary (not that he needs one) is $40K, with the bulk of his compensation tied to the stock price reaching certain thresholds ($12, $14, and $16).

Overall, I see PBI is a reasonably "safe" bet with hidden upside if one is patient. In the meantime, the company throws off about 3.25% in dividends. While not huge, I still get paid to wait and see how the story unfolds.

PBI share price at time of publication: $10.13
BiQ ACB: $7.96

Please note that the BiQ ACB includes any open options positions, which are accounted for using a "worst case scenario" assumption, plus trading profits (and losses) around my core position.

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