Equity Highlights July 2026

Below you will find recent Equity Highlights for a selection of Broyhill's portfolio companies. As always, we aim to make these easy to read and easy to repeat — so please share with anyone who might find them useful. 

Two of our companies finished long-planned breakups within a week of each other, both on schedule. On June 29, Honeywell completed the spin-off of its aerospace division, listing Honeywell Aerospace on Nasdaq under the ticker HONA and leaving behind a pure-play automation company. That was the last act of a three-part split that also freed Solstice materials last fall and took Quantinuum public in June. A week later, on July 6, Middleby spun off its Food Processing business as Midera Food Processing (Nasdaq: MFP), keeping the leaner commercial foodservice company we own. Two spins, two catalysts moving forward exactly as we underwrote them. Sum-of-parts discounts do not close on their own.

Falling coffee bean prices hand Nestlé a choice, and the choice itself is the good news. Green coffee hit record costs in 2025 after bad weather cut supply, and Nestlé passed those through to shoppers. Beans are cheaper now, and Axel Touzet, who runs its coffee business, told Reuters that the company will factor the decline into its pricing. He said prices "may" come down. That word does the work: cheaper inputs let Nestlé cut prices to defend volume, or hold the line and rebuild the margins inflation eroded. Management has to strike that balance, and it takes months to reach the shelf. The direction, at least, now points the right way.

The most important number for Smurfit WestRock is the price per ton of cardboard, and it just moved in the right direction. In June, containerboard producers pushed through their second price increase in four months, and Fastmarkets RISI recognized the full $50 per ton in the same month it took effect. That sounds routine. It was not. It was the first hike in at least four years to reach the index's full value in its target month, bringing the 2026 tally to $100 per ton. For a company whose earnings live and die on containerboard pricing, that is the signal that pricing power has returned.

Dollar Tree used its activist's exit as a chance to buy its own stock cheaply. In late June, Mantle Ridge sold roughly 12.8 million shares in a secondary block trade, and Dollar Tree stepped in to repurchase $500 million of stock alongside the sale. On July 2, the board refilled the tank, restoring the repurchase authorization to $2.5 billion. This is the first real test of capital allocation at the standalone company since it sold Family Dollar, and management is answering it by leaning in. Fewer shares, a simpler business, and a board willing to act on its own conviction.

Disclosures

Any statements above reflect the views of Broyhill Asset Management, LLC as of the posting date and are subject to change. The information provided above is for informational purposes only and reflects publicly available news regarding certain companies that represent a subset of our total exposure to all of our portfolio companies at the time of posting. This information is not investment advice or a recommendation to buy or sell any security. Holdings and views expressed may not be current and are subject to change without notice. Please review our full disclosures for additional important information and disclosures.