Reiterate Buy: High Quality Growth Story, Predictable Revenues and FCF Yielding 11%

Travel & Leisure | Christopher Agnew, CFA, Managing Director | January 14th, 2015 (Read Report)

Reiterate Buy: High Quality Growth Story with Predictable Revenues and FCF Yielding 11%. We
believe the continued fallout post the non-REIT conversion announcement has created a very
interesting opportunity in a high quality story.

MTN Provides Investors Good Road Map for Opportunity. Like Vail Resorts (MTN, Buy, $91.97,
$107 PT) did for skiing, we believe MYCC is professionalizing what was once a poorly run (undermanaged/
under-capitalized) leisure business. Club Corp has the knowledge, expertise and capital
to invest in the product, drive up membership (market share), member engagement (wallet share)
and improve retention (revenue predictability). The highly fragmented golf/country club industry
presents a plentiful supply of growth opportunities. (Read more)

2016-10-23T23:30:27+00:00