RE:RE:RE:Peers Compared, Robert half, manpower, kforce, adecco, randstad, Kelly services, and AMN:
Averages
price/ebitda 6.54. (low of 5.45 for adecco, high of 9.27 for man power)
enterprise value to ebitda. 8.54 (low of 5.75 for AMN, high of 13.35 for kforce)
rev/ debt. 354 (low of 4.8 for AMN high of 2572 for Kelly)
pha is currently (based last quarter annualized)
price to ebitda (adjusted)is 1.41.
enterprise to ebitda is 3.44
rev/debt 4.29
Post acq.
est revenue of $168million (No growth in either company using pha last quarter and SS 2022 y.e.)
est adjusted ebitda of $17.559 million.
total debt. 43 million (based on purchase and latest quarter).
if we keep the same metrics:
price to ebitda $65m market cap (after debt)
enterprise value of $108 million
rev/ debt of 3.91. (Gets worse post combination)
we are on the low side on all accounts. That is likely due to excessive debt. I suspect we will see a surprise in growth, giving us a bump in value from this.. and, if they can show they can pay down some of the debt we currently have, we could get a bump in valuations. On the reverse, if debt has increased plus the acquisition, I suspect there will be some real concerns... love to see this hit a buck post acquisition.
id also like to see them better explain why they use adjusted ebitda? If they are not reoccurring items, just put them in as extraordinary and we can take it out of ebitda