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Colabor Group Inc T.GCL

Alternate Symbol(s):  COLFF

Colabor Group Inc. is a Canada-based distributor and wholesaler of food and related products serving the hotel, restaurant and institutional markets (HRI) in Quebec and in the Atlantic provinces, as well as the retail market. The Company offers specialty food products such as meat, fish and seafood, as well as food and related products through its Broadline activities. Its product categories include frozen food products, dry goods, dairy products, fruits, vegetables, meat, fish, seafood, poultry, disposable items, sanitation products and maintenance products. Its Norref products offer over 1,500 products sold fresh, frozen or live, including regional, exotic and eco-friendly fish, all varieties of seafood and processed products. Its Lauzon products include lamb, beef, delicatessen, turkey, game, fish, pork, poultry, veal, cheese, frozen food and portion. It also sells products under private brand, Menu. It distributes around 10,000 food and related products to 15,000 points of sale.


TSX:GCL - Post by User

Bullboard Posts
Comment by WDMBellon Dec 04, 2016 9:41pm
187 Views
Post# 25553159

RE:RE:RE:RE:RE: 2 consecutive Quarters of Improvements!!!

RE:RE:RE:RE:RE: 2 consecutive Quarters of Improvements!!!My opinion is if they do everything right and get there margins up and lower their debt levels we could see the achieve net profit margin of 1.5% with sales growth of around 4%.  This would mean they would have appoxiamtely 1.825 billion in sales with earning of 27.375 million.  100 million shares out would equal around 27 cents per share.  If it then trades at similar multiples to other food distributors we could see a share price of around 5.35 to 8.00.  However do not forget there is an additional 20 million shares in convertible debt that would most likely converted as the price would be higher than the option price on the debt so we should assume a 16 to 25% discount to those numbers.

If they do everything right we could see around $5 per share overall(just a guess!!!!).  There are a lot of hurdles to cover though.  The big questions is if management can pull it off.  I am optimistic with the addition of Robert Brisco.  I would be more optimistic someone from upper management was also fired as they are the ones that got into this mess.
Bullboard Posts