Added to YB: 2024-04-05
Pitch date: 2024-03-26
ARE.TO [bullish]
Aecon Group Inc.
+96.86%
current return
Author Info
No bio for this author
Company Info
Aecon Group Inc., together with its subsidiaries, provide construction and infrastructure development services to private and public sector clients in Canada, the United States, and internationally.
Market Cap
CAD 1.3B
Pitch Price
CAD 15.72
Price Target
36.00 (+16%)
Dividend
3.75%
EV/EBITDA
10.72
P/E
51.03
EV/Sales
0.31
Sector
Construction and Engineering
Category
value
Aecon Group Inc. - $ARE.TO
ARE.TO: Aecon trading at only 3x NTM EBITDA despite 9%+ normalized margins (up from 5% historically) on improved business mix. Legacy fixed-price projects causing temporary losses down to 5% of '24 rev. Infrastructure focus, strong backlog visibility. $36 PT for '25 (2.5x upside) based on 6.5x EBITDA, below historical 9x takeout multiple.
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