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.

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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..!