SGI 0.00% 34.0¢ stealth group holdings ltd

Stealth Undervalued??, page-8

  1. 48 Posts.
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    despite the pandemic (or perhaps thanks to) SGI’s operating segment (industrial supply) grew markedly in the 2021 financial year. Through their acquisitions the year prior and the fact they had 7 months of revenue from C&L Tools and they had negative organic growth.

    the upside of C&L is half the $9m and you have to assume that they will hold the entire revenue of Skippers.

    if they achieve that, and it is a big if, they are still $109m away from their target.

    given taking actual market share seems beyond them they will need to acquire businesses with revenues circa $120m to achieve their pipedream.

    Stranger things have happened, but it is a firm no for me.

    Last edited by mjwinny: 04/12/21
 
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