Bullboard - Stock Discussion Forum Cargojet Inc T.CJT

Alternate Symbol(s): CGJTF | T.CJT.DB.E | T.CJT.DB.F

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Cargojet Inc. is a Canada-based company, which is a provider of time-sensitive premium air cargo services to all major cities across North America. The Company also provides dedicated aircraft to customers on an aircraft, crew, maintenance, and insurance (ACMI) basis, operating between points in Canada, the United States of America, Mexico, South America, Europe, and Asia. The Company operates... see more

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TSX:CJT - Post Discussion

Cargojet Inc > Q1 CIBC

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Post by DanielDarden123 on May 03, 2021 3:52pm

Q1 CIBC

We derive our $245.00 price target by applying an adjusted EV/EBITDA multiple of ~16x to our 2022 estimate. This multiple is in line with other industrial peers with high barriers to entry and strong FCF generation. We use pro forma adjusted net debt of ~$224MM.

My Take: This continues to fly high by dominating the market. People forget that every plane has a maximum capacity. When passengers return to AC etc. Cargo will have to be reduced leaving CJT with avenues for growth in volume and margins.

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