Positive and Negative thoughts on quarterly resultsI have been in the stock for 2 years so no compliants on profit made. Here are some random thoughts:
A- Positive
1- Cash flow continues to grow.
2- Management has been expanded- VP manufacturing, Assit VP Finance and HR
3- Dividend payout ratio is dropping as Dividend increasing. They coud bump payout to $.5 a month and probably have a 70% payout.
4-Increased credit lines and financial flexibility now to make larger acquisitions.
5- More analysts following stock and DD probably moves to TSX this year.
B-
1- Continued issuse with 2 companies Marketing Impact ( sells display holders for retail stores) and Slimline (sells farming irrigation equipment). Both companies have been dogs for about 1 year now. New management in both companies, but a warning these companies maybe a drag on earnings. I hope if by the fall if companies not turned around sell them and move on.
2- There has been a natural turnover of new management in companies owned from original owners. Will there be an impact on revenue?
Conclusion- I hope DD concentrates on existing companies and is laser focused on organic growth. In other words, get your house in order before doing significant expansion. I still think stock is $15.00 by year end.