Hints and tips:
...The shares trade on a FY20E EV/EBIT of 11.3x (falling to 9.1x) and a P/E of 9.0x (falling to 5.7x)....
...Dividend cover, the ratio of a company’s income to its dividend payout, had fallen from 3x to below the 2x level generally considered to be safe....
...We revise our Target Price to 62p and expect an adjusted EBIT of £140mn in FY’21, implying 19.7x EV/EBIT vs. long-term average of 9.1x....
...On an EV/EBITDA basis the shares trade on 12.7x FY21, falling to 9.3x in FY22....
...UK banks valuations are low (0.46x 2022e TBV and 6.4x P/E) but only trade at a modest discount to European banks (0.52x and 7.1x)....
...On our forecasts, the (debt-funded) Cineplex deal would have raised Cineworld’s net debt by 1.3x in 2021 (6.5x vs 5.2x net debt/EBITDA)....
...We set a target price of 190p, which values the business on an EV/Sales of c.3x (the top-end of the 2-3x range for which tail-end products can typically be bought)....
...For illustrative purposes, reducing our pre-COVID FY21F EPS estimate by 30% would result in a P/E ratio of c8x, while a 3x covered dividend would generate a 4.3% yield....
...AML ended 2019 with leverage of 7.3x and was running out of cash in January....
...The global industry is forecasted to increase at an +8% CAGR through 2023, eclipsing $200 billion....
...Our software peer group that we use to gauge the value of Siemens' software business trades on 9.3x EV/Sales (12m fw) or 29.0x EV/EBIT....
...Leverage falls to 2.7x (from 3.3x)....
...We base our new price target on a 9% target FCF yield on FY19A; this is equivalent to a price/BV of 1.1x, PF for new sharecount. Peel Hunt’s keener....
...Drop through was c50% pre-IFRS16 (rental only) with dollar utilisation at 53% (3Q19: 55%)....
...At the time, RCL’s net leverage was 5.1x. It went to 8.0x in 2009. As of year end 2019, net leverage for RCL was 3.2x. Carnival’s leverage in 2008 was 2.3x compared to 2.1x at year end 2019....
...This is below the 4x covenant but unpalatable and would moderate to 3x by passing the interim and prelim dividends (often required to access government liquidity and furlough schemes)....
...The premium to Autogrill (P/E 21.3x) and WH Smith (21.1x) has reduced as SSP has derated. It remains a top pick for structural growth and self-help (margin upside)....
...Based on last night’s closing price and existing consensus forecasts (which do not yet fully reflect COVID 19), Next is trading on 19.1x Cal 2020 earnings, 9.0x EBITDA....
...Pro-forma December interest cover stood at 3.3x against a covenant of 1.25x....
...MSCI Europe is now trading on 10.3x Fwd P/E, down from 15.1x last month and 24% below the historical median of 13.6x....
...Valuation: WPP trades on 6.3x 2020 earnings – while there is much uncertainty we believe WPP offers 70% upside should there be visibility on a “half-v” recovery....
...It’s true that Shanghai now trades at only 16.3x forward earnings versus 16.1x for the S&P500, for example. However, exclude financials and the Shanghai Composite is trading at 26x forward earnings....
...As it is, Chinese citizens are still prevented from obtaining more than a mere 1.1x the benchmark rate from Chinese banks....
...And after releveraging following the acquisition of the Reynolds’ business last year, leverage for the combined group dropped to 4.3x at the end of 2009 from 5.1x pro forma as of 2Q09....
...by misappropriating funds intended for capital expenditures through sham contracts entered into by Kazakhaltyn....
International Edition