BIG - Big Lots holder's assumptions on potential sale value look optimistic - analyst

Big Lots (NYSE:BIG) holders Mill Road's claims that the retailer may be worth $50-$70/share in a potential sale appear to "look optimistic," according to a BofA analyst.  The Mill Road "bull-case" appears to hinge on "cherry-picked" assumptions, BofA analyst Jason Haas, who has an underperform rating on the stock, wrote in a note.  The analyst highlights risks to Mill Road's proposal including that BIG EBITDA is declining, BIG doesn't generate "much cash"  and Mill Road is using consensus estimates that may be optimistic. The BofA comments come after Mill Road disclosed a 5.1% stake in Big Lots (BIG) in a 13D filing on Tuesday and urged the company to start a strategic review and consider selling itself. The Mill Road push follows Apollo Global (NYSE:APO) rrortedly attempted to buy Big Lots in 2020. Big Lots shares surged 15% on Mill Road news Tuesday and gained 1.5% today.  "Mill Road’s letter fails to bring forward

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Big Lots holder's assumptions on potential sale value look optimistic - analyst