After doing more research into this one, I deem current valuation to be decently attractive, not very attractive since it seems like it can have a tough time growing at double digits for the next five years.
Its expansion plan seems to have paid off in attractive profitable revenue growth but they have stated that capex will be down significantly in 2023 and 2024, so no large expansion in the coming years.
Furthermore, management has talked about prioritizing M&A as a growth strategy but it’s still difficult for me to figure out the ROC for its acquisitions. I also don’t want to be in the situation where I invest in the company and they have another 2013 to 2018 period with 6% revenue CAGR.
I don’t know if you have an interesting take concerning growth over the years beyond 2024?
Excellent post and very interesting company. Seems quite cheap as well but need to do some more work on it. Thanks for the idea!
It is really cheap for us. We recommend you to study the other Italian yacht companies as well. Thank you for your comment!
After doing more research into this one, I deem current valuation to be decently attractive, not very attractive since it seems like it can have a tough time growing at double digits for the next five years.
Its expansion plan seems to have paid off in attractive profitable revenue growth but they have stated that capex will be down significantly in 2023 and 2024, so no large expansion in the coming years.
Furthermore, management has talked about prioritizing M&A as a growth strategy but it’s still difficult for me to figure out the ROC for its acquisitions. I also don’t want to be in the situation where I invest in the company and they have another 2013 to 2018 period with 6% revenue CAGR.
I don’t know if you have an interesting take concerning growth over the years beyond 2024?