"Loews (NYSE: L), the the holding company of the New York-based Tisch family, is a way of buying a collection of good stocks at a discount, with much else thrown in free," says Adrian Day.

The editor of the top-notch The Global Analyst he explains, "These value investors have a long record of buying quality assets cheaply when they are out of favor, nurturing them, and eventually monetizing them."

"Everyone loves a sale, right? Typically, the Tisch family buys major chunks of out-of-favor businesses, often publicly traded, and hold for many years. They exemplify the important traits of successful value investors: discipline and patience.

"I calculate a New Asset Value for Loews—taking current (depressed) stock prices for its publicly traded holdings, the cash, and conservative valuations for the private assets—of almost $39 per share.

"I believe this understates its current value. So Loews is trading at a whopping 38% discount to its NAV. (It is also trading at a low 7 times earnings, though I view Loews as an asset play not an earnings or yield vehicle.) 

"However, the public companies and the cash—both assets for which valuations are readily available—amount to about 60% of the total Net Asset Value. Add up these values, and Lowes is trading at a discount of 25% to the value of just the public shares and its cash.

"That’s undervalued enough, while the rest of the company—the private companies and its investment portfolio—comes free. You might argue with the valuations I place on these private businesses, but we know they are worth something!

"In many ways, the specific assets they currently own are much less important than the company’s style. Let’s look at those assets, though, since that’s what creates the tremendous value opportunity right now, the ability to buy Ben Graham’s proverbial dollar bill for 50 cents.

"The five main assets are all cheap. They are a majority ownership in three public companies, plus two significant private companies.