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Bullboard - Stock Discussion Forum Supremex Inc T.SXP

Alternate Symbol(s):  SUMXF

Supremex Inc. is a Canada-based company, which manufactures and markets envelopes and provides paper-based packaging solutions designed to the specifications of national and multinational corporations, direct mailers, resellers, government entities, small-medium enterprises (SMEs) and solutions providers. The Company operates through two segments: the manufacturing and sale of envelopes and the... see more

Bullboard (TSX:SXP)

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Comment by DanielDarden123on Apr 01, 2022 12:56pm

RE:Buyback re-activated

Today’s filings confirm your observations. Good work!
Comment by hawkowl1on Mar 30, 2022 2:34pm

RE:RE:Buyback re-activated

Great post HermannHaller. It is frustrating not knowing what is going on behind curtain to explain such a weak share price.It would be shocking if a third major party swoops down and makes a decent ...more  
Comment by HermannHalleron Mar 28, 2022 3:17pm

RE:Buyback re-activated

I hope they don't put such arbitrary limits on the NCIB. Four years ago the stock hit a high of $4.83. 10x earninbgs would be $5.80. Most companies would be pretty happy to be able to buy back ...more  
Post by chrischapman256on Mar 28, 2022 9:52am

Buyback re-activated

Looks like the share buyback is active again. Or at least I saw buying go through Industral Alliance which is the broker they use for buybacks. I think what is happening is before they set a max ...more  
Comment by HermannHalleron Mar 23, 2022 12:05pm

RE:RE:RE:RE:capital allocation - math

I care about debt, I just think people are under-appreciating how much cash flow this company generates. The debt ratio at the end of 2019 was 2.1x, since then they made the Royal acquisition and have ...more  
Comment by DanielDarden123on Mar 23, 2022 11:42am

RE:Capital Allocation

Why would anybody want to micro manage a company without inside knowledge of the future capital requirements??? If an investor cannot trust the management and Board to make those decisions, he/she ...more  
Comment by Capharnaumon Mar 23, 2022 10:25am

RE:RE:RE:capital allocation - math

$6M isn't a lot of cash in the bank with a tax payment of $4M due (net is $2M!). That doesn't even consider they may have capex/maintenance costs that aren't weighted through the year ...more  
Comment by HermannHalleron Mar 23, 2022 8:31am

RE:RE:capital allocation - math

Only? But why would they keep a high cash balance when they have a revolving credit facility? (which the paid down by about $9 million during 2021) Also, as in my last post, they generated $26 ...more  
Comment by Capharnaumon Mar 22, 2022 5:11pm

RE:capital allocation - math

They still only had a bit over $6M in cash at the end of Q4 with an income tax charge of over $4M coming up.
Post by HermannHalleron Mar 22, 2022 4:43pm

capital allocation - math

The company generated $26 million in free cash flow in 2021 (as calculated by mgmt). The dividend will cost them $2.6 million this year. If the NCIB was buying the MAXIMUM allowed number of shares ...more  
Post by DanielDarden123on Mar 20, 2022 11:48am

Capital Allocation

“We reviewed our capital allocation strategy through the lens of sustained year-over-year revenue and EBITDA growth, a substantial reduction in leverage over the past several quarters and an ...more  
Comment by HermannHalleron Mar 19, 2022 3:20pm

RE:RE:RE:RE:RE:RE:Anybody notice Share buyback has stopped

I don't think they need to reduce debt, and based on management's comments on the conference call, they don't think so either. But I agree they could be working on an acquisition, and that ...more  
Comment by Capharnaumon Mar 19, 2022 3:01pm

RE:RE:RE:RE:RE:Anybody notice Share buyback has stopped

Well, there's a point where the tradeoff to buying back shares is that you don't use that capital to grow the business. When it was under $3, I think it was a no brainer. At current price, I ...more  
Comment by HermannHalleron Mar 19, 2022 2:33pm

RE:RE:RE:RE:Anybody notice Share buyback has stopped

Management already reaffirmed the plan to buy back shares after the dividend was announced, so no trade-off is being made here.  Also, the stock is trading at only 6x earnings. If after ...more  
Comment by Capharnaumon Mar 18, 2022 10:38pm

RE:RE:RE:Anybody notice Share buyback has stopped

Also, I don't think it's bad that they keep their buyback cash for share price dips.
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