TIL - Trilogy [formerly ECO - Ecoya]

[Poaix]

deleted by STMOD

NEVER copy and paste paywalled articles.

[misterx]

https://soundcloud.com/nbr-radio/tri...-from-analysts

Im sure this one is O.K. as this has free access.

[muss1]

I like the "in Japan the trilogy brand is bordering on cult status" part

[boysy]

continuing to buy at these levels still think the ASX listing will be a catalyst for a rerate when it will be compared to BWX (albeit TIL having better revenue and greater diversification than BWX). Still trading at circa 30% below BWX MC bring on the AGM

[NZSilver]

When is the listing going to occur - have we actually been given some dates?

[winner69]

continuing to buy at these levels still think the ASX listing will be a catalyst for a rerate when it will be compared to BWX (albeit TIL having better revenue and greater diversification than BWX). Still trading at circa 30% below BWX MC bring on the AGM

On my F17 forecast for TIL and using BWX guidance of 30% increase in EBITDA I reckon the gap is at least 40% (TIL comparable price today $6.43) if both were to trade on same multiples.

Add a bit more for TIL being a better bet should be even more eh

ASX listing - sooner the better. Hope they getting their butts into gear

I reckon even Roger is getting interested - he just loves these profitable strong growth companies.

[winner69]

One thing if ASX instos get buying I'm sure they will be 'pointing out' to TIL that they would be better off not putting much more effort into candles

[winner69]

One thing if ASX instos get buying I'm sure they will be 'counselling' TIL that they would be better off (increase their value) by not putting much more effort into candles

[boysy]

Think plenty of bagging candles has gone on here lets wait to see a trading update my bet gross margins is increasing for the ecoya products than anything else TIL. Like your >$6 plus valuation winner would be good for the market to catch up a bit but happy buying around the 4.50 level this week will seem very cheap in a few weeks me thinks.

[boysy]

plug in the herald i missed on friday

http://www.nzherald.co.nz/business/n...ectid=11703770

Sweet scent
Craigs Investment Partners remains bullish on Trilogy International shares, despite the meteoric run-up they've had over the past couple of years.

The sharebroker's private wealth arm initiated coverage of the skincare products and scented candle stock this month with a "overweight" rating and a $5.55 one-year price target.

Shares in Trilogy, whose brands include Ecoya, closed unchanged yesterday at $4.50.

Craigs analyst Nachi Moghe is forecasting a compound annual growth rate of 18.5 per cent in revenue and 23.4 per cent earnings-per-share growth over the next five years.

Trilogy's balance sheet was in good shape, with "negligible" debt levels following a recent $25m capital raising, he said in a research note.

Moghe said that, coupled with strong profit growth and solid cash flows, meant there was potential for Trilogy to pursue "capital management initiatives" or acquisitions.

Big opportunity
China, meanwhile, is a big growth opportunity for Trilogy, Moghe said.

Craigs estimates that up to 10 per cent of the products Trilogy sells in Australasia end up in Asia's biggest economy via the so-called Daigou channels, which involve goods being purchased overseas for re-sale in China.

Moghe said the company was in discussions with Alibaba's Tmall and JD.com around establishing dedicated online shopfronts "which in our view would dramatically increase sales to China".

It's worth noting, however, that China can be a fickle market, particularly for companies like Trilogy that largely rely on third parties to sell product there.

Businesses can easily be broken by regulatory changes; a case in point being the fallout from an infant formula brand registration requirement, which came into force in May 2014, which resulted in many small-scale New Zealand baby-milk exporters going under.

A recently introduced e-commerce tax has also been putting pressure on China's cross border online retail market.