Added to YB: 2024-11-14
Pitch date: 2024-11-12
PLOW [bullish]
Douglas Dynamics, Inc.
+80.4%
current return
Author Info
Three Mile Research finds undervalued stocks that the market has irrationally discounted due to panic or short-term disruptions. Sign up for the newsletter.
Company Info
Douglas Dynamics, Inc. operates as a manufacturer and upfitter of commercial vehicle attachments and equipment in North America.
Market Cap
$1.0B
Pitch Price
$24.13
Price Target
46.37 (+6%)
Dividend
2.63%
EV/EBITDA
11.53
P/E
20.30
EV/Sales
1.87
Sector
Machinery
Category
turnaround
Douglas Dynamics: Call Mr. Plow
PLOW: Leader in work truck attachments facing temporary setback due to low snowfall. 32% stock drop, but poised for recovery. Cost-saving initiatives yielding $9M savings in 2024, $11-12M annually after. Trades at 8x EV/EBITDA, 11x P/E vs 10yr avg 12x, 20x. 52-82% upside potential. Risks: prolonged low snowfall, competition, economic slowdown.
Read full article (4 min)