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Finning International Inc. (FTT)
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Bird Construction Inc. (BDT)
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North American Construction Group Ltd. (NOA)
Q: Would you please compare these 3 stocks using your usual metrics and determine which one you would recommend for a tfsa for a 3 to 4 year hold and perhaps an entry price? Thank you.
5i Research Answer:
BDT is $1B market cap, up 30% YTD, P/E 10.6X, yield 2.96%, no net debt ($20M) cash, cash flow $75M. About 30% growth expected.
FTT is $5.9B, up 7% YTD, P/E 10.5X, yield 2.43%, debt $2.5B against $228M annual cash flow. About 30% growth expected.
NOA $0.8M, up 11% YTD, 6.95X, 1.30%, net debt about $600M vs $230M cash flow. EPS could come close to doubling this year.
FTT of course is so much bigger than the others, but it is leveraged. BDT looks best on a fundamental basis currently and we would be OK with either, with BDT looking good in the $17.50 to $18 range.