MNF 1.21% $5.73 mnf group limited

Nice result , nice buy peterdoobes. Operating cash flow to net...

  1. 703 Posts.
    Nice result , nice buy peterdoobes.
    Operating cash flow to net profit ratio 1.4
    Free cash flow positive.
    No debt
    Negative working cap
    ROIC - 400 % (EBIT/ Net Working cap +net fixed assets)
    ROE 45%
    Average Return on operating assets (post tax) = 89%
    EV/EBITDA -approx 17 i.e earnings yield of 5.88%
    Being priced at implied long term growth rate (r-g) of approx 8 percent which is a high long term growth rate expectation. I like this to be around bond yields (2 % higher is ok) but considering its near term future growth prospects the market has been efficient in pricing it I think.
    However from a EV/EBITDA perspective based on its ROC , if it can maintain such a high level of ROC over the next few years, this will be a nice one to have. A steady compounding machine. Its main capex will be smart acquisitions.
    Not many have such great numbers. Now to keep an eye for the next year.
 
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Currently unlisted public company.

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