Post by
zack50 on Jun 18, 2021 2:18pm
John Zechner, discussed Martinrea on BNN today...
"This stock has multiple attractions as it has an exceptionally low valuation but some earnings cyclicality that will allow it to outperform strongly as the global economic recovery continues. The company has a strong balance sheet and generates positive free cash flow.
It has a focus on the ‘lightweighting’ of vehicles through greater use of aluminum parts, a key factor in meeting the growing demand for electric vehicles without the associated valuation risks. Martinrea International has the added benefit of an investment in VoltaXplore, which gives it EV battery exposure. The heavily discounted valuation provides an opportunity much like it did at market lows in 2009 and 2016.
Insiders at the company have also been active buyers of the stock recently, another endorsement of the attractive valuation and growth."