TSX:IBG.DB.E - Post by User
Comment by
SweetPeteon Mar 09, 2017 9:47am
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Post# 25956400
RE:RE:RE:RE:my take
RE:RE:RE:RE:my takeI like what I see in the Statement of Cashflows and the Balance Sheet:
1) Net cash used in financing activities $23,126 in 2016, $22,118 in 2015. Means they are paying down debt like crazy;
2) If 2017 is the same and they generate $30,000 in their operations, we should see their Credit facilities go down by 1/3 in the balance sheet.
I like that very much not only because it improves their balance sheet, their results, as they will have less interest to pay (I can't see any decrease in interest payments in 2016 yet), but also because it improves their financial flexibility.
This should translate in way better results in 2017, if business and exchange rates are stable.
IBG could very well be a takeover target. IBG would be accretive to earnings for all it's major competitors. Risk is pretty much gone.