New Target Price $2.35 Monday, February 08, 2021
Drone Delivery Canada Corp. (FLT - TSXV) - CAD 2.35
Marketing Takeaways; Revising Valuation
On Friday, we hosted DDC's management team for an update, and while there were no material updates, we came away from the event with more conviction that the Company’s Condor drone, which can carry 400 lbs of cargo for 200 km, will complete commercial flights this year. With the company almost a year into commercial operations, we are reducing our discount rate and increasing our valuation multiple. Net, our target increases to $2.35 from $1.50. We maintain our BUY (S) rating. (Morning Notes)