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31 May 2023
Transcontinental Get Good Reviews By Investors
MONTREAL—
Financial Analysts are giving Transcontinental good ratings for a number of reasons. Shifting its business mix from a declining printing industry to a growth packaging industry. Consistent Dividends with a 6.2% Yield. Printing may be seen as a 'melting ice cube', the company still derives significant cash flows from this division. At 5.3x EV/EBITDA, Transcontinental is being valued more like a printing company and trades at an unfair discount to its packaging peers.
The company's financial position is solid with consistent free cash flows year to year that more than cover dividend payments. About 56% of revenues come from its packaging segment, 40% from printing, and 4% from media and publishing. With low debt levels and a solid liquidity position, Transcontinental has the financial flexibility to pursue strategic opportunities. Transcontinental is Canada's largest printing and packaging company. Also is becoming one of North America's largest flexible packaging companies.
Canada's largest publicly trades printing company is looking bullish to investors
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Making the right moves for investors
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