Data Communications Management Corp T.DCM

If they ebitda 30 mill annualied run rate in the middle of a

[drunk@noon]

what kiind of upside is there as the economy opens up in the second half of the year?
40 million-50? Spend a year knoking down the 60 mill in debt, then buy back shares, and/or take the company private.

[nozzpack]

Just to illustrate the upside at that point when debt is paid down to $40 million, these are my fair value at peer EV to Ebitda.. I assume the following.. LT debt will be paid down to $40 million  Ebitda is $30 million EV to Ebitda Multiple = 14.1 ( https://siblisresearch.com/data/ev-ebitda-multiple/ ) FYI Enterprise value = Market cap + debt minus cash Current EV

[KnowledgeSeekr8]

Thank you Nozzpack for your analysis, it is appreciated to give a perspective of what we could see if this turnaround story is truly on track. I do have one thing to comment on regarding your analysis. The multiple that you have applied (14.1) is not what multiple will be appied to this company any time soon. This is mostly a print company not a marketing/advertising company (although we do have

[nozzpack]

I fully understand your point. The valuation multiple will be a step function , as each quarter reports. Revenue growth is abviously another parameter in that calculation. There is solid evidence of growth for 3 quarters up to and  including Q1 of 2020. It was then interrupted and reduced by at least 15 % by the market reduction of Covid. Still, even at that reductionist rate, the revenues

[nozzpack]

  I  challenge  you on your assertion that this is mainly a print business.   DCM is converting into  a communications solutions partner that provides a suite of comprehensive on and offline communication solutions to its clients including multi media campaign management, location-specific marketing,1:1 marketing, execution of custom loyalty programs, brand management