The Worm in the Greencore (II)

Tags

distressed, Greencore, IFG Group, Interest Coverage, Margin of Safety, Operating FCF, Pension Deficit, Rights Issue, Uniq

Greencore Group plc (GNC:ID or GNC:LN)

• Mkt Price:  EUR 0.635
• Mkt Cap:  EUR 244.2 mio
• P/E:  3.9   (well, sorta…based on 2011 Cont Adj EPS)
• P/S:  0.19
• Div Yield:  8.5%      

Continued from here… Before we look at Uniq, there’s two other acquisitions to tackle: First is the abortive (recommended) merger with Northern Foods. I was shocked when this was announced in Nov-2010. What the hell were they doing? Despite the management guff, clearly they already had enough on their plate. At least it was a nil premium merger, and promised GBP 40 mio of annual savings within 3 years. On that basis, things might not necessarily get any worse after the merger, and just might get better..! The market certainly shared this conclusion, with GNC’s share price actually rallying sharply.

The Worm in the Greencore (I)

Tags

Ballymaloe relish, Charlie Haughey, exceptionals, Greencore, Net Interest/EBITA, Operating FCF, Tesco, Total Produce, Uniq

Greencore Group plc (GNC:ID or GNC:LN)

• Mkt Price:  EUR 0.645
• Mkt Cap:  EUR 248.2 mio
• P/E:  4.0   (well, sorta…based on 2011 Cont Adj EPS)
• P/S:  0.19
• Div Yield:  8.4%      

I’ve been champing at the bit for the latest Greencore results, which just came out today. They’re always enjoyable to review, and a real boost to my day. Gee, I wish I could live in Greencore’s happy world forever. It’s amazing how wonderful a picture they can paint in the pages of their annual report. Um, I mean the front pages of the report. Perhaps errant husbands or wives should commission and present their spouses with an annual report each year? With a Nov year-end, of course, so it’s always the best present under the Xmas tree. Jesus, we’d never hear of another divorce ever..!