GREY:ACEXF - Post by User
Comment by
knicksmanon Jun 01, 2020 6:15pm
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Post# 31098748
RE:RE:Good qtr
RE:RE:Good qtrThis company remains incredibly undervalued.
For 2020, the company is on track for EBITDA of US$40 million (or US$28 million attributable to ACES). Interest cost are down signficantly. And, so are acquisiton costs. FCF to ACES is tracking at about US$20 million or close to C$0.40 per share. That's unreal.
The shares trade at 5.5x EV/EBITDA and 25% FCF yield. For a company that can navigate the current environment with little to no impact to financials -- that's just too cheap. A strong Q2 and cleaner financials (less one-time costs) through the balance of the year should result in a positive rerate.
Also, the company is acquiring additional locations at about ~3x EV/EBITDA. That's some really accretive growth.
No brainer.