OTCPK:TMBMF - Post by User
Post by
dosperroson Jan 26, 2017 12:24pm
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Post# 25758939
"Significant rebound in profitability in M-'17 Q expected"
"Significant rebound in profitability in M-'17 Q expected"This is the best quote from the presser.
A major maintenence SNAFU is what caused the $34M profit. Not that bad, in it's own right, but I sure was off in my calling for $42M.
Next Q should be in the $55 to $60 range though. It all this is a $200M a year company now. Meaning:
- analyst upgrades pending. This board has been right; they, in calling for $120 to 150M profits, have been wrong.
- rapid deleveraging will occur
- SP will rise fast
- Valuation multiples will expand to meet and then exceed industry averages
- Jim and Mich decide "what's next" for strategy (e.g. M&A, agressive de-bottlenecking of the asset base, JV in new product lines, who knows).
- Finanical engineering will come in time: a dividend, and NCIB.
- If a div was launched now, say 10% of cash flow, that is 10%*200M = $20M. That's 20c/share = 8%. For something that's no-sweat. If they paid 50% of cash, like many companies so, you're at a 40% payout ratio :)