Overlooked Alpha

Overlooked Alpha

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Overlooked Alpha
Overlooked Alpha
A $350M Acquisition Could Transform This Struggling Stock

A $350M Acquisition Could Transform This Struggling Stock

Overlooked Alpha
May 19, 2024
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Overlooked Alpha
Overlooked Alpha
A $350M Acquisition Could Transform This Struggling Stock
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Highlights:

  • Despite a lacklustre decade of growth, this animal health business is showing signs of a turnaround.

  • A recent acquisition for $350 million seems like an absolute slam-dunk, poised to significantly boost profits, margins, and scale.

  • With the company's new CFO having intimate knowledge of the acquired business, the risk of a bad deal seems mitigated.

  • At under 8x EBITDA, there’s plenty of room for continued upside.

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