The Curran & Co report about TNT looks very comprehensive and well researched, but with a somewhat conservative outlook IMO. C&C seem to discount TNT's plans for future acquisitions that will be undertaken in Phase 2, (e.g. in the Prelim Final report 31 Aug - FY21 future focus - "Complete Phase 2 acquisitions"). As many posters have commented, we may assume that this means 2 or more further acquisitions yet to be announced to the market, if TNT does go ahead with further expansion.
The C&C report says "However, we are not forecasting any additional acquisitions and expect that FY22 revenue will grow 42.9% from organic growth drivers alone. "
and
"For the sake of conservatism, we are not assuming any additional purchases, despite TNT targeting $100m run rate by the end of FY21; future revenue growth that we forecast is the result of organic drivers such as integration synergies and Cyber Security market growth."
So I guess if TNT do announce additional acquisitions, the C&C numbers and valuations in their report will become out of date, and would have to be adjusted upwards.
All IMHO, DYOR
TNT Price at posting:
25.0¢ Sentiment: Buy Disclosure: Held