im not sure if you had a look at the carter holt acquisition but they had massive revenues but very very low margins. something that the current mgmt addressed.
I believe they will be able to achieve more than the 7% average. margins will improve once carter holt harvey has been fully integrated.
The carter holt acquisition was a game changer and will give ckl something like 25% of the folding carton market making and has made it an industry leader ahead of visy but equal to Amcor .
I like colorpak management have skin in the game and a great history of savvy acquisitions. grab buying at these levels and in my mind a better buy than amcor that trades at 20X earnings with margins around 4%
that said i am no financial advisor so please do your own research :)
sent from iPhone
CKL Price at posting:
58.5¢ Sentiment: Buy Disclosure: Held
