I am in process of reviewing this as there has been so much change, will likely be another article upcoming. High-level;
x Overall the growth thesis takes a hit for my base case, and might be challenging to reach 15% across next five years - but - this should be the moment of max pain. North/Latin America strong, EU likely have bottomed out, RNG in growth mode... Asia development from here is the key for me.
x Margins are stronger than what I assumed in my base case - impressive given revenue drop
x Multiples very compressed at the moment, would pencil that this improves from here, especially when Asia stabilizes and volatility decreases
Current valuation should be an attractive entry point for the long-term investor, given recent share price drop and the green shoots that are visible outside of Asia.
Does your valuation change seeing this new information?
I am in process of reviewing this as there has been so much change, will likely be another article upcoming. High-level;
x Overall the growth thesis takes a hit for my base case, and might be challenging to reach 15% across next five years - but - this should be the moment of max pain. North/Latin America strong, EU likely have bottomed out, RNG in growth mode... Asia development from here is the key for me.
x Margins are stronger than what I assumed in my base case - impressive given revenue drop
x Multiples very compressed at the moment, would pencil that this improves from here, especially when Asia stabilizes and volatility decreases
Current valuation should be an attractive entry point for the long-term investor, given recent share price drop and the green shoots that are visible outside of Asia.
Thanks a lot
Thanks for reading!
Excellent objective review!
Happy you liked it, and thanks for commenting!