EBO-Ebos

[winner (n)]

Interesting that TA gave a clear warning something wasn't right.
EBO last traded at 31.5 times last years earnings, so has been priced for very strong ongoing growth.  Hmmm

That TA was a bit spooky eh ...esp seeing overall markets weren't doing to bad

[winner (n)]

Book value $2.2b or $11.80 share / NTA negative $4.05 share as mountains of intangibles / Debt >$1 billion

But this is Ebisu so no worries

[winner (n)]

Craig's a bit downbeat about EBO future ... in BusinessDesk

Craigs' analysts said the loss of the earnings from Chemist Warehouse would be hard for the company to replace and they also forecast a near-term cut of 10% in ebitda which would increase over time, given Ebos' prospects for market growth are reduced.

[Shareguy]

Craigs said today

EBOS Group (EBO) has been dealt a material and surprising blow with the loss of its Chemist Warehouse (CW) Pharmaceutical supply contract from 1 July 2024 to its largest competitor, Sigma (SIG.ASX). We estimate current EBITDA contribution of ~A$60m–$70m (~11% of FY23 EBITDA). While disappointing and we make material earnings downgrades (medium-term EBITDA down -10–12%), the core defensive growth story remains intact. EBO is a well-run, diversified, defensive business with a robust organic growth outlook (with upside from M&A). EBO trades on ~21x FY25 (new normal) EPS, a ~+25% premium to the market median and ahead of its own history. We view this valuation premium as justified for a high quality business with a proven track record of delivery. Retain NEUTRAL with a decreased target price of NZ$37.70.

[kiwi2007]

MorningStar a bit more negative: "We raise our fair value estimate for no-moat Sigma by 27% to AUD 0.80 and decrease our fair value for narrow-moat Ebos by 7% to AUD 27, or NZD 29.50 at current exchange rates......"

[winner (n)]

This guy reckons EBO could get in ASX200;soon ..that be good

https://arichlife.com.au/10-stocks-that-could-soon-enter-the-sp-asx-200-index/

[winner (n)]

Blackrock become a SSH

Probably no big deal as Blackrock own most things in this world.

And some say we should be worried as Blackrock takes over the world.

[Shareguy]

Good to see back over $38.

[Left Field]

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/EBO/416863/401053.pdf

• Results underpinned by organic growth and substantial contribution from prior year acquisitions reflecting the defensive and diversified nature of Group earnings
• Revenue of $12.2 billion (up 14.0%)
• Underlying EBITDA of $582.0 million (up 33.2%)
• Underlying NPAT of $281.8 million (up 23.0%)
• Underlying EPS of 147.9 cents (up 14.1%)
• Final dividend declared of NZ 57.0 cents per share, bringing total dividends declared for the
year to NZ 110.0 cents per share (up 14.6%)
• Continued strong performances from both our Healthcare and Animal Care segments:
o Healthcare Underlying EBITDA up 32.7% driven by organic growth and the contribution from acquisitions completed in FY22; LifeHealthcare performed in-line with expectations
o Animal Care Underlying EBITDA up 24.0% reflecting strong organic growth in our key brands and the benefits from the investment in our new pet food manufacturing facility
• Underlying operating cash flow of $404.7 million (up 39.1%) reflecting strong earnings growth and disciplined net working capital management

[Shareguy]

Thoughts

FY23 was another good year with eps and divi +14%
Growth is slowing, looking at 2H
Cost cutting and aquasitions to save the day going forward. 
Need some large aquasitions or several small ones to make up for the loss of the Chemist Warehouses contract. Craig's say creates a $75m drag on FY25 EBITDA.

Think its a hold based on current price.

[winner (n)]

Profits up in Q1 ...that's good

http://nzx-prod-s7fsd7f98s.s3-website-ap-southeast-2.amazonaws.com/attachments/EBO/420409/405653.pdf

[lorraina]

With a PE of 23.40 they need to be.

[Shareguy]

EBITDA growth is tracking slightly below expectations – largely due to margins as the EBITDA margin is +8bps YTD, while the market is expecting 23bps for the full year.

[Crackity]

EBOS buying GXH eh - lucky I've got lots of one of those 

[lorraina]

I think it is more likely to be Australian Greencross Vets,otherwise they would have said Green Cross Health.