Rev & EPS BEAT: The Stealth Growth Stock Does it Again…. Revenues increasing 16.4% YoY while Adjusted EPS up 45.7% YoY and continued growth in EBITDA and cashflow.
Growth across all three of their divisions CDN envelope up 8.6%. US envelope up 54.4% and packaging specialty products up 17.0%. The US growth is just ridiculous and the growth path will continue into the future for multiple years as they are just getting started on their US expansion.
The ability of management to use its cashflow that the business throws off and reinvest it into the business in an accretive manner is unmatched. The integration skill that management has demonstrated time after time has been the driving force behind the companies success through its acquisition strategy.
The scary part is that the second half of the year is shaping up to be even stronger with margin expansion and operational efficiencies beginning to be generated from recent acquisitions. Once this is done they will go out and add another company with the amazing balance sheet that is significantly under levered and do it all again.
ROE machine that continues to deliver and as a kicker a growing dividend that yields 4.5% along with a NCIB eliminating shares.
After these great numbers time to go test the 52 week highs.
HIGHER