TSX:IBG.DB.E - Post by User
Post by
Oakboy1110on Aug 09, 2020 9:51pm
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Post# 31385528
IBI share price
IBI share priceFor fear of running. out of room, here is a brief interpretation of the numbers in the last post.
IBI performance for the first half has been outstanding. Their sales growth, in a difficult market, exceed the 2 peers that I use for comparison.
Profitablity as measured by Adj EBITDA which includes depreciation etc as reported under IFRS 16 and used by peers beat both peers- IBI coming in at 15.8% of net revenue, a whole percentage point about the next highest-- Stantec with 14.8% of net revenue.
Why then does IBI share price lag so far behind its peers. It trades at a price to adj EBITDA multiple of 5.5 compared to Stantec at 8.4 and WSP at 8.9.
There is 50%. upside to IBI's share price in order to be comparable to Stantec.
Debt is no longer an issue with IBI debt down to 1.3 times Adj EBITDA.
IBI does not pay a dividend but the yields are not that high for the 2 peers.
With the stated intention of the company's goal to get more awareness,the share price should move closer to it proper value.