whatdadil9 Posted May 31, 2016 Share Posted May 31, 2016 Any thoughts on this one? Stock screens very cheap and the Comps are trending in the right direction with alot of the stores set to be rennovated. A few activists involved and alot of consolidation in the space. Cara / St. Hubert and recent MTY deal. These deals have a tremendous amount of savings on the procurement (food/supply chain), advertising, and obviously corporate G&A. Seems like a good target... Curious on thoughts for why languishing... Link to comment Share on other sites More sharing options...
ratiman Posted June 1, 2016 Share Posted June 1, 2016 so about a 7-8% fcf yield, that's pretty good. what about all the warrants ? it generates a lot of cash without much reinvestment but there doesn't seem like a whole lot of new information ahead to move the stock. most of the positive changes appear to be behind them. Link to comment Share on other sites More sharing options...
whatdadil9 Posted June 3, 2016 Author Share Posted June 3, 2016 I believe the FCF yield is demonstrably higher. Mgmt has guided to greater than 20m of EBIT(DA) in fiscal 18 and based on the inputs provided we get closer to 25mm of EBIT(DA) which is closer to a mid teens yield. These companies generally trade 3-5 pct yields... We also dont believe all the good news is behind us. The Company will either return to store growth, buy another brand and leverage the G&A structure, or sell the Company. To get that optionality at this valuatoin/discount to peers is a pretty good risk/reward... Link to comment Share on other sites More sharing options...
whatdadil9 Posted August 23, 2016 Author Share Posted August 23, 2016 Big shareholders call for sale. Interesting math. http://www.marketwired.com/press-release/adw-capital-partners-lp-camac-partners-llc-seek-sale-imvescor-restaurant-group-inc-2152342.htm Link to comment Share on other sites More sharing options...
whatdadil9 Posted August 23, 2016 Author Share Posted August 23, 2016 adw was also on BNN today. http://www.bnn.ca/the-close/adw-capital-camac-want-restaurant-operator-imvescor-to-sell-itself~935209 Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now