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Pivot Technology Solutions Inc. T.PTG

"Pivot Technology Solutions Inc offers IT solutions to businesses, government, education, and healthcare organizations. It operates through the following segments: ACS, ARC, ProSys, Sigma, TeraMach, Shared services. The company derives the maximum revenue from the ProSys segment which sells storage, server, and IT infrastructure consulting solutions to enterprises. Geographically, it derives majority revenue from the United States and also has a presence in other countries."


TSX:PTG - Post by User

Post by cartoneton Mar 04, 2015 6:47pm
287 Views
Post# 23490860

PTG vs. Nasdaq Peers

PTG vs. Nasdaq Peers
I did a quick back of the envelope comp with 5 US Nasdaq listed peers: CDW,CBR,BBOX,PLUS and DLTK


all sorts of sizes, PTG would be #2 in revenues of the 6. PTG definetely lags in the gross margins department.


checked EV vs EBITDA and Sales for last 12mo.


averages are : 


EV: 10,70 X EBITDA
EV: 0,46 X SALES


for PTG I have ( annualizing last Q):


1.4 B sales
34m EBITDA
88m Debt


so taking HALF of the averages 


1.4 B X 0,23 = 322m
34 m X 5,35 = 182m


blend it : 252 m EV 


252 - 88 = 164 


/ 167m shares post conversion:




VOILA ! 1 buck






Longer term if they keep growing and IF they increase their margins by gaining better mix in services vs. product, integration synergies, etc.... it could head towards 2 bucks.


Obviously would need to move off the Venture and into Toronto or much better yet Nasdaq. Not sure what the requirements would be for Nasdaq, will prolly need a reverse split, which I for one would be in favor of.
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