Earnings multipleWhy would this company trade a more than 10X ebitda. They buy dealerships at 5 - 6 X trailing ebitda. Of course they can get some efficiencies due to their size - granted. But really, 10X. Which puts this at a below 20$ stock. No disrespect to management, but that is where they should be trading. The IB and Management duped the shareholders at 75$. that was crazy.
So, I go back to my earlier statement - $20 or below is the right price for this stock.
They also need some bank covenants fixed.