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TSE:BYD
This summary was created by AI, based on 7 opinions in the last 12 months.
Boyd Group Services Inc. (BYD-T) is presently facing challenges related to labor costs and fluctuating accident volumes, which have shown an uptick recently. Despite these challenges, there are positive indications, such as two consecutive quarters of positive same-store sales growth and expanding margins. Analysts seem divided, with some expressing skepticism about the company's future performance compared to the market's expectations and recent earnings downturns. The company has made strides in improving efficiencies through initiatives like Project 360, but the outlook remains cautious due to the complexities in the automotive repair sector and the need for consistent performance. Overall, Boyd may be well-positioned for long-term growth through strategic acquisitions, but uncertainties regarding industry normalization linger.
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. One of the largest operators of non-franchised collision repair centers in North America. 860 locations of which 724 are Gerber glass. Sales at $613 million, up 37.8% for the quarter ended June 30th, 2022. Management noted that demand is exceeding capacity in all US markets and indicating a recovery in Canadian markets. Unlock Premium - Try 5i Free
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research. Relationships with major insurance companies. Industry leader and major consolidator. Expanding EBITDA margins. Five-year growth plan to double its size. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Underlying fundamentals remain good. Labour shortages and supply issues could persist for some time, however. In general they beat estimates in their latest quarter, with sales at $516M, rising 28%. esP beat estimates of 12c at 28c. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Same store sales increased by 10.7%. They beat sales estimates slightly but missed on EPS. EBITDA came in at $51.1M, missing estimates. Demand is still below pre-covid levels and margins are seeing pressure from labour and material shortages. Confident in management’s ability to manage short-term headwinds. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. It recently missed earnings but it has missed before and recovered well. Below $200, it would be attractive. Reopening will move the stock more. Could make acquisitions, which would change things quickly. Unlock Premium - Try 5i Free
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The company reported not a great quarter. However, the outlook is better than the past. Acquisitions continue and they recently entered Hawaii. EPS is still expected to more than double this year. Unlock Premium - Try 5i Free
Has sold shares in company.
Company has too much retail orientation (very hard business).
Auto-body shops require large capital investments.
Strong franchise - but would wait for shares to fall before investing.