AMC doesn't pay franked dividends anyway.So dividends less...

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noomxx

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09/04/25

20:44

Post #: 78626812
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Originally posted by madamswer: ↑

A bit Meh, I feel.

They are paying around 11.5x EV/EBITDA using scrip capitalised at around 10x EV/EBITDA (although that doesn't preclude it from being EPS accretive given the dampening effect of non-operating items below the EBITDA line) .

While I don't know too much about Berry at this stage, from what I can see, it looks like it services market segments which are structurally faster-growing.

Trouble is, AMC is absorbing a lot of debt, which Berry carries (~US$8bn of Net Debt supported by around US$1.8bn of EBITDA, so 4.3x Net Debt-to-EBITDA), which means MergeCo will have Net Debt-to-EBITDA of around 3.6x.

This informs the lower dividend profile for the combined entity, because some balance sheet repair is going to have to occur.

It implies AMC is expected to be viewed as more of a growth stock than an income stock.

Which I personally prefer, but I know that there are many market participants who don't.

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AMC doesn't pay franked dividends anyway.
So dividends less relevant to AU investors.

Watching, but not striking (yet).

Trade barrier war 101 leads to lower volume.

Lower transactional volume leads to lower earnings for AMC.

I might be simplistic in this thinking, but watching from the sidelines.

I would like to pick up in the low $13 if Mr Market becomes despondent and has one of Mr Market psychotic depressive hits.

AMC Price at posting: $14.09 Sentiment: None Disclosure: Not Held
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(20min delay)
Last $13.99		Change -0.200(1.41%)		Mkt cap ! $8.793B

Open	High	Low	Value	Volume
$13.96	$14.03	$13.86	$82.08M	5.879M

Buyers (Bids)

No.	Vol.	Price($)
1	1100	$13.99

Sellers (Offers)

Price($)	Vol.	No.
$14.00	5000	1

View Market Depth

No.	Vol.	Price($)
1	1100	13.990
1	1076	13.940
1	50	13.920
2	2000	13.910
6	1977	13.900

Price($)	Vol.	No.
14.000	5000	1
14.070	720	1
14.080	3585	1
14.090	50	1
14.180	945	2

Last trade - 16.13pm 26/06/2025 (20 minute delay)

AMC (ASX) Chart

AMC doesn't pay franked dividends anyway.So dividends less...

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AMC doesn't pay franked dividends anyway.So dividends less...

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