This is more of a deep value asset play selling below working capital, with profitable earnings and reliable access to financing. The company is the leading French-speaking broadcasting company in Canada, reaching up to 80% of French speaking households.
TVA Group is going through structural industry changes as their viewership is moving away from traditional TV for social media platforms and alternative media.
Still, the assets are great, the consumer moat’s wide, and the expectations for traditional TVs continuity are certain.
The stock trades at $0.83, but my Net Net calculation gives me $1.73/share.
The stock is selling at -61% in 5 years.
The stock is being gradually accumulated, trading up 50% in the last 3 months. I am expecting the market to eventually rerate near or above its Net Asset Value in the future.
Not investment advice, do your own research and due diligence. I have written a thorough valuation report on the stock. Contact me if interested. Enough for the gifts today!