Oil States International [Part 2]: Spinoff Creates Enticing Possibilities

Continued from part one… How much could the new entity be worth? Well, during the final presentation at the Sohn Investing Conference in Manhattan, Greenlight Capital’s David Einhorn stated that based on a sum of the parts valuation, Oil States is currently worth in the region of $118 per share, a 21% upside from current levels. Part of this thesis was based on the fact that at the time, Oil States International, Inc. (NYSE:OIS) was trading at a EV/EBITDA multiple of around seven times, although in comparison to the company’s larger peers this does not appear to be significantly under/overvalued. Larger…