Macro Enterprises Inc. Com MCESF

RE:Tmx guidance

[longrun86]

I figured I would stitch together some of my thoughts on the Q2 release.

Results
It was nice to see them stitch together a great Q2 and it seems that the good times should keep rolling into 2022. The margins were good even if they were padded a bit ($2.2m) by CEWS. 

Guidance
Macro's guidance puts the Hardy Boys mystery books to shame.

I haven't seen a Cormark report in a while but would imagine that they see Macro working on TMX into 2022. I share the view with Undervalue that Macro's FY2021 EPS should be between $0.60 and $0.75. I never really know how to assess the profitability of the MSA work so that is a wildcard for me.

The spending of $8m to $10m on Growth Capital Expenditures seems to further support the continuation of TMX. 

Valuation & Capital Use
The valuation gap is insane to me and I continue to believe that only through a significant corporate event will this change. Share buybacks, Special Dividend, Outright Sale of the Company... who knows what it will take, but patience will be rewarded as long as we have alignment with Management and they continue to execute.

When I get frustrated with the markets investor apathy I like to think of Benjamin Graham looking down at us from the heavens smiling.

Best of luck,

LR