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ATD.BSTOCK PROPOSAL BY: CONSUMER RETAIL
FRANCIS, ROHEN, FINN, AND RICHARD
CAPTAIN: ELI DALES
Difference between ATD.Aand ATD.B
ATD.A – PREFERRED STOCK – used for mock proposal by the execs. Preferred stocks have voting rights, mostly reserved for big
investment companies.
Preferred stock was used for mock since it was near impossible for us to buy. Good example to use.
ATD.B – COMMON STOCK – bought by regular shareholders No voting rights
Nearly the exact same stats as ATD.A with some differences.
Our club can buy.
What we are proposing today.
ALIMENTATION COUCHE-TARD
• International conglomerate of several businesses.
• 30+ years in business• Diverse portfolio of holdings• Stable leadership• Best known for Mac’s• Acquisition – based.
KEY STATISTICS
KEY STATISTICS – 2015 Q2
REASONS TO BUY Alimentation Couche-Tard Inc. says it has an agreement to sell its
Europe-based aviation fuel business to Air BP, one of the world’s largest suppliers of aviation fuel products and services.
If you look at 6 month period, it is steadily rising, yet if you look at 1 month period, its falling. Short term, this is a good time to buy in. Long term, the increase in this company is stable and they do give dividends.
P/E ratio is 24.24(as of today) Over 6000 stores in NA, under a variety of names including Mac’s,
which many of us might be familiar with EPS is 1.91 Beta of 0.12 Div/yield is 0.05/0.39
REASONS TO BUY• Alimentation Couche-Tard has
large amounts of cash reserves – recession safe stock.
• Couche-Tard has an EPI of greater than one – defensive stock
• Reliant on oil prices – lower prices equals higher margins = higher profits
• Strong future growth in Europe – newest market, filling a void of demand.
GAME PLAN
BUY 77 Shares, ~ $3507 at current price
6.5% of current portfolio holdings
Would be around the same as book value of Rogers holdings.
Hold in the long term: Couche-Tard is a long holdings stock with heavy expansion
potential.
Stable growth, track record of continued expansion.
Heavy drop in oil prices indicate an opportunity for service stations
ANNUAL DIVIDENDS – value investing
Respond accordingly to analysts and any catalysts
QUESTIONS + DISCUSSION