Equity Highlights May 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. 

The Honeywell breakup now has a date. In April, the company confirmed June 29 as the NYSE debut for its aerospace spinco (ticker: HONA) and named a full 11-member independent board to lead it, with former Eaton Chairman Craig Arnold as lead director. Honeywell will hold investor days for both the aerospace and automation businesses beforehand. Then in May, Quantinuum, Honeywell's quantum computing subsidiary, filed its S-1 targeting a Nasdaq IPO at a $10 billion pre-money valuation. That puts three distinct value unlocks on the calendar in a single year: the Solstice advanced materials spin last November, the aerospace separation next month, and now a path to monetize the quantum computing stake. We believe these developments bring us closer to closing the sum-of-parts discount on the conglomerate.

Eight years after taking the company public, Warburg Pincus and GTCR are out. The sponsors completed a 31.8 million-share secondary in May, fully exiting their Sotera Health positions and terminating the stockholders' agreement that had given them board control. The same week, Sotera named Viant Medical CEO Alton Shader as its incoming chief executive, with founder Michael Petras moving to Executive Chairman. Together, the moves mark a governance reset: a company that spent years entangled in litigation and PE oversight now looks like a conventional mid-cap with a clean operating model and a new leadership team aligned with public shareholders.

Masco held its first Investor Day in years at the NYSE on May 13, with Broyhill in attendance. The company set 2028 targets of 3-4% organic sales growth, adjusted operating margins above 18%, and roughly 10% annual EPS growth. A week earlier, a $300 million accelerated share repurchase reinforced the conviction. The framework matters because it does not require a housing recovery to work: Delta faucets, Behr paint, and Hansgrohe shower systems are driven primarily by repair and remodel rather than new construction, and Masco's brand portfolio holds pricing power across the cycle. The buyback makes the waiting period more productive.

The FDA renewed the modified risk authorization for five IQOS products on April 17, allowing Philip Morris International to continue marketing IQOS in the United States with reduced-exposure claims. The renewal matters for a specific reason: the U.S. is the market where IQOS has the most runway, and the MRTP authorization is the legal foundation for the reduced-harm messaging that distinguishes it from combustible cigarettes. Three months earlier, an FDA advisory committee had validated similar reduced-risk claims for ZYN. This renewal, covering Philip Morris's flagship heated tobacco product, removes a parallel regulatory tail risk and clears the path for the domestic smoke-free expansion.

LVMH agreed in May to sell the Marc Jacobs brand to a joint venture between WHP Global and G-III Apparel Group for $850 million. It is the third such exit since late 2024, following Off-White and Stella McCartney. The pattern is deliberate: strip out brands that require capital and management attention disproportionate to their earnings contribution, and concentrate everything on the flagship houses where Louis Vuitton, Dior, Bvlgari, and Tiffany set the margin profile. In a softer-demand environment, portfolio discipline is the one lever management fully controls. LVMH appears to be pulling it.

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.