RE:RE:DCM Comp RRD up 40% after Takeover Bid As of August 8th I have computed the following from an earlier post. R.R. Donnelley & Sons (rrd) was trading at a premium to industry peers on an EV to ebitda analysis.
Dcm has increased gross profits over the last 4 years by 3.7% compounded annually. On the other hand, Supremex has increased their gross profits by 5.5% compounded annually. R.R Donnelley and Sons as well as Arc Document solutions have decreased gross profits by 6.2% and 6.8% respectively, compounded annually.
EV = enterprise value
ebitda = "adjusted ebitda"
GP = gross profit
ttm= twelve trailing months
Ttm. EV to ebitda EV to GP
DCM 3.88 2.23
SXP 4.2 2.34
ARC 4.38 2.16
RRD 5.07 2.08
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"Avg excluding DCM" 4.55 2.19