Exit Seaport Entertainment Due to Persistent Cash Burn Concerns

about 2 months ago

Guy Barron

"We exited our investment in Seaport Entertainment during the second quarter after initiating the position at an average cost of $27 per share, exiting at just under $19 per share due to concerns over persistent cash burn and management's inability to stabilize cash flow."

Seaport Entertainment was identified as a value trap where deteriorating cash flow and escalating operational issues prompted an exit signal. Investors are advised to avoid or sell this position, as the risks associated with continued cash burn outweigh the potential for recovery.