Added to YB: 2022-11-11
Pitch date: 2022-11-08
LEAT [neutral]
Leatt Corporation
Author Info
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Company Info
Leatt Corporation designs, develops, markets, and distributes personal protective equipment for participants of motor sports and leisure activities in South Africa and internationally.
Market Cap
$73.9M
Pitch Price
N/A
Price Target
N/A
Dividend
N/A
EV/EBITDA
7.54
P/E
19.42
EV/Sales
0.87
Sector
Leisure Products
Category
value
Leatt Corporation
LEAT: Protective gear for motocross/MTB; grew from neck braces (12% sales) to full-body protection (57% sales). Asset-light model, China manufacturing. 37% rev CAGR, 108% profit CAGR last 3yrs despite low marketing spend. 95% return on operating capital, strong operating leverage (costs +61% vs sales +260% since 2017). <5% market share most products, long runway. Fox Head acquired at 10x EBITDA; LEAT trades 5.4x EBITDA, 7.8x P/E. Founder owns 34%. Risks: inventory buildup (180 days vs 120-140), recession impact, operating leverage cuts both ways.
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