Core Viewpoint - Unilever has spun off its ice cream business into the Magnum Ice Cream Company (MICC), creating a pure play ice cream stock, which is expected to perform well as an independent entity [1][20]. Company Overview - The Magnum Ice Cream Company is the largest player in the ice cream industry, owning four of the world's five largest ice cream brands: Walls, Magnum, Ben & Jerry's, and Cornetto [2][4]. - The company has a global market share of 21%, significantly higher than its closest competitor, which holds only 11% [4]. Recent Performance - Despite a 6.5% decline in volume in 2023 while under Unilever, the ice cream division has begun to recover post-spin-off, achieving a 1.1% organic volume growth and a 2.8% increase in organic sales [6][8]. - The company's gross margin has improved for the first time in years, indicating a positive trend [9]. Future Outlook - Magnum aims for organic sales growth in the range of 3% to 5% and plans to enhance profitability through modest price increases [10][11]. - The company has good data on the impact of weight loss drugs (GOP-1s) on the ice cream market, estimating a 0.5% hit to volume growth for every 12% market penetration of these drugs [12][13]. Valuation - Magnum's stock is currently trading at approximately $15, with earnings per share expected to be $1.26 this year, slightly decreasing to $1.23 next year due to initial investments as an independent entity [16][19]. - The stock is valued at 12 to 13 times earnings, which is significantly lower than peers like Hershey and Nestle, suggesting a potential investment opportunity [18][19].