Quipt Home Medical Corp T.QIPT

What is the POTENTIAL REVENUE gain with the shelf in place?

[Trademark11]

Ammunition:
30MM Cash+20 MM LOC+200MM shelf = 250MM

Fact:
1.  Average price of acqusition targets over the last 3 years = 0.8x Rev
2.  200MM shelf at 6.05 = approx 33MM shares.Total share count would be 65MM 
3.  2022 Rev Runrate = 125MM 
4.  Above 350 MM Rev company forcasts EBITDA = 25%

If managment deploys all of their ammunition in 2022 (Doubtful):

At 0.8x Revenue 250MM can purchase approx 310 MM
2022 analyst concensus revenue =  125 MM
Total Potential Rev = 435MM
EBITDA @ 25% = 109 MM
109MM EBITDA / 65MM shares = $1.68sh

At Trading multiple of 6x = $10.06 =    67% upside
                                   8x = $13.40 =  123% upside
                                  10x = $16.80 = 180% upside
                                  12x = $20.10 =  235% upside


NOTE:  Deployment of all ammunition in one fiscal year is an unlikely POSSIBILITY NOT A PROBABILITY.  Anything above 70-80MM would be a horizontal merger of equals and done to attain economies of scale and need time for digestion. 

However, it is helpful to know the POTENTIAL revenue scale with the capital the company has to work with.  

(PS bashers, I am aware that there are variables here which you will porobably refute, but I have chosen what I feel to be reasonable values)

Do your own DD, heavily invested, active trader

[Carlito3311]

This post has been removed in accordance with Community Policy

[Carlito3311]

This post has been removed in accordance with Community Policy

[lscfa]

Co.s with higher grow rates (quipt) should have higher multiples than lower growth co.s (Apria), dumbass......

[brentski99]

Well I am not an active trader. I am a stump farmer holding this stock as a hedge against inflation. It is a high potential - low risk- cash rich company trading at a low multiple in a sector that will soon again be in vogue.  A well run value stock. Everybody and their mother is looking for a decent ROI in a climate of negative and zero interst rates. Look at what is driving real estate

[gibbonsj]

Brentski99, you just hit the nail on the head. The time is coming where companies in the right market at the right time in a growing and expanding sector will be considered safe havens. This is exactly why I parked some of my portfolio here.

[besttobe]

Brentski wrote" I am a stump farmer holding this stock as a hedge against inflation." The best bet against inflation are gold stocks. Still room to run, but have to say it is my biggest return this year other than a few oil stocks. Quipt? The future doesn't look so bright. Too regulated, costs are rising, staff shortages and reimbursement rates staganant.  For traders