CTC.A is now trading at 10x times' Forward P/E. In 1Q-2023, CTC.A’s revenue declined -4.9% to $3.71B due to an expected challenging macro environment, but beating the estimates of $3.70B. EPS wass $0.74 missing estimates of $0.97. The balance sheet is leveraged, with net debt of around $11B. Total debt is around 5.2x times the trailing twelve-month EBITDA of $2.1B, which has been flat in the last three years.
Based on consensus estimates, sales are expected to remain flat in 2023 and return to normalized growth of around 3%-4% over the next few years. We tend to be a bit agnostic on CTC. At 10X earnings and given their position, investors will likely fare fine on a name like this but we also don't see any outright reasons to own or be particularly excited about CTC.