Post by
visionaryfool on May 13, 2016 8:27am
ACTUAL EV with calcs
All numbers in $USD:
Debt = $3.3B
Shares oustanding = 52.5M
Stock price = 23.03
Market Cap = ~1.2B
EV = $4.5B
EBITDA range of $610M to $650M. My take, with currency adjustments, will be between $550M at low range and $600M at high range.
EV/EBTIDA Low = 8.1x
EV/EBITDA high = 7..5x
Let me know if i missed anything.
Comment by
fdfd12 on May 13, 2016 8:34am
It is right but you are assuming a lower EIBTDA which they have not.
Comment by
visionaryfool on May 13, 2016 8:39am
Yeah because they are forecasted at an exchange rate of 1.54 USD to 1GPB. We know they won't get this for atleast 6 months of this year until the BREXIT vote is over. So to be conservative, I reduced their EBITDA to reflect the F(x).
Comment by
FlintNewell on May 13, 2016 8:47am
Cash should also be subtracted to get to final EV. EV = market value of common stock + market value of preferred equity + market value of debt + minority interest - cash and investments. CXR has $178m in cash so: EV = $4.5B (per your calculations) - 178m = $4.32B CXR reaffirmed adjusted EBITDA guidance of $610m to $640m. Let's call it $625m (average of the two). EV/EBITDA = 6.9x
Comment by
visionaryfool on May 13, 2016 8:54am
Good point. I'd assumed that the cash on hand would be used for contingent payments so it would wash.
Comment by
DayOfReckoning on May 13, 2016 8:56am
Lets say $625M in EBITDA.... Q1 Interest expense was $68M or $272M annualized... The capital structure is inefficient and CXR should have raised more equity for AMCO aquisition. Now you have drug pricing in the crosshairs of politics for the next 6 months... Selling the pop to $42 was a gift. Thank you rumor mill ;)