SMBC December 4, 2014 Andy Frank: “Last October you posted this update by Chris Brown of Aristides on SMBC: I think the stock trades at least at 1.3x book 24 months from now, which gives you a $38 stock at that point, plus a 2% dividend while you wait. It is one of our top five holdings. A kicker, which is not needed to make this investment successful (I did not include it in my estimate above), but will help, is that as steady as the company’s growth has been, it seems likely to be a Russell 2000 addition in 2015. That could give shareholders an additional 10% upside, along with some better liquidity. “Once again Chris has gotten it right, though it’s ahead of his prediction having hit 38 in 13 rather than 24 months. I’m comfortable holding but thought I’d see if Chris still likes it at this price.” ☞ Good news: he still likes it. And it closed above $40 yesterday.