The ODP Company (NASDAQ: ODP) is a business supplies and services company, catering to clients of all sizes and industries. Its shareholders have long been thirsty for value creation, eagerly awaiting upward climbs. The present phase for ODP stock is just what its holders have been yearning for, considering the strong catalysts approaching, coupled with the company’s core strengths.

ODP Has Several Catalysts Approaching.

The ODP Corporation (ODP) stock has fallen approximately 5% in 2022 and has impressively taken on a 10% climb in the last month alone. This rally does not come spontaneously but links to several catalyst points to look out for. For one, the company is set to initiate a tender offer in the upcoming months at a considerable premium. Secondly, the company is fast approaching a deal to spin off its existing retail division, which would better position it for value creation, and focus on its business segment. Finally, following the beta stage launch, ODP is likely to launch its Business-to-Business marketplace platform, which it has named Varis. With so many points of surge approaching, the stock could be trading at double its price by next year.

Core ODP Strengths

ODP’s catalyst points are reliable, considering the core strengths the company is resting on. It has seen its EPS jump by over 32% YoY, indicating its improving profitability, and is under a spectacular management team. Over the years, the competent management team has reorganized priorities with a renewed emphasis on B2B, while focusing on debt reduction and free cash flow optimization. The result is one of the strongest balance sheets the company has come forward with in years.

Conclusion

ODP is a stock that shows a highly positive track record, whilst holding tremendous upsides and growth potential. With such low risks, the stock presents one of the most compelling opportunities in the market, available in these uncertain times.