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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.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. The company performed well during the pandemic and even raised $230M in May during lockdown. Their financial position is stronger and based on consensus, the EPS could double in 2021. There is still room to go. Unlock Premium - Try 5i Free
(A Top Pick Apr 15/19, Up 30%) It's become a consolidator (which he prefers to a roll-up), because being a consolidator gives Boyd a platform for acquisitions and reduces overall costs. Boyd is a go-to to consolidate tens of thousands of auto body shops. They will expand to the U.S. as a stock, which is okay to hold in an RRSP but not a taxable account.
Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Still likes it. It has a strong balance sheet with many acquisition opportunities. They will be able to rectify their issue of finding qualified technicians due to high unemployment. Unlock Premium - Try 5i Free