RE:RE:RE:Desjardins: A clean sheet in 2025 ? (they think NO)I understand all that. If they had to do a brand new clean sheet design, in 2025 that they could easily do it given their FCF. Thanks Temp.
Maybe what they're saying is that, their peers averaged FCF of 11.8% for the past 3 years. Yet what the Bomber is estimating is 20%, which is way beyond their peers average of 11.8%. Which still doesn't makes sense, given that they anticipate about $8.6B in Revs, and +FCF of $850M. EBITDA of $1.6B on $8.6B for 2025 is 20%. Which is what we expect. If they're implying what you're highlighting, "trading at FCF yield of 20%". I still don't understand what they actually mean by trading 20% FCF yield. If someone else can chime in, please do.
If they get FCF of $850M for 2025, they're averaging 9.8% FCF for 2025. Which is still 2% below their peers average FCF. Given their Capex and Interest on the Debt, they're still ok, for 2025. I wanted to see them in the $1.2B range of FCF for 2025. Which is closer to 14%, which is 2% higher than their peers. But they're still stuck with pearson this year just trying to finish the adaptation curve for Downsview to Pearson.
Cheers