Conrad Repurchased 100,000 Shares in 2014
"During the first quarter of 2012, we purchased 59,881 shares at an average price of $15 per share. During the third quarter of 2012, we purchased 150,000 shares at an average price of $15 per share. During February 2013, the board approved an increase in the stock repurchase program of $10 million. No shares were purchased under the program in 2013. In November 2014, we purchased 100,000 shares at an average price of $32 per share. On December 11, 2014, the board approved an increase in the stock repurchase program of $20 million."
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5 comments:
I like that they started buying shares on the selloff to 32. I think a conservative valuation can be calculated near $40.
I agree...my FV is in the mid 40s. If I stress the forecast harshly and assume they go to negative EPS over the next few years before rebounding to long term margins that would imply below-average ROIC on all the new capex they are doing, I still get a value of $26 under that scenario.
I was suspicious they had begun to buyback shares, especially in 2015. If you look at the 1 year chart you can see its had a floor under it around 30-31. Its flatlined over the last couple months. The last time it behaved like this was when they were buying back stock and it was $11-13 a few years ago.
$25 sounds about right to buy again.
No update for the Q1 report???
Current share count is 5.68 million, market cap @ $30 is $176 million. Assume that the EV is now ~$130 million. That seems neither really cheap nor really expensive.
Book value is $23.60. That would be a great buy price.
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