TSX:ATRL - Post Discussion
Comment by
Gabriel on Sep 12, 2023 8:29pm
RE:Valuation
Gabriel wrote: You have 4 units here that should be spun as four separate entities with their stand alone administrative staff and board for the market to recognize their true value.
1. Pure Engineering Services. My EBITDA projections compare to those of Benoit Poirier of Desjardins of 610 m for 2020. This unit is work 12 * EBITDA or 7.3 B (41$ per share). Considering the edge in top quality services and digital 3D of SNC and strong demand in Engineering Services (Engineering firms are flooded with work and are hiking prices - I have never sees those prices) and the strong position of SNC Atkins in asset management (includes needs assessment, planning, design, project management, construction supervision, operations, ..) and the condition of the infrastructure in the world (30% backlog needs intervention NOW and another 30% in the next ten years for a total of 60% over the next 10 year, we are talking trillions per year).
2. SNC Capital which owns 6.67% of the 407 with 60 m per year revenue. Based on my calculations it is worth 76 years left * 62m = 4.7 B. Yes the other 10% stake was given away 3 parties wanted it: OMERS, Canada Pension and Ferrovial). Add Brunway and other concessions for 350m. You have 5B (28$ per share).
3. Construction : market will decide.
4. Oil and gas and resources : The board and management of this stand alone entity will realize its true value. This unit needs to become the key player in the next energy revolution by acquiring promising firms.
We had it right. Next one is Aecon fellas.
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