Q: Can I please have your thoughts about this company’s future and overall prospects?
Thanks
Thanks
5i Research Answer:
ATD is a well-established consumer staples company that has a track record of consistently creating shareholder value over many years. ATD’s management also demonstrated a disciplined approach to capital allocation, ATD repurchased shares aggressively when it was cheap and did M&A at reasonable valuations. We think highly of ATD’s predictable business model and management team, we would be comfortable owning it over the long term. We expect ATD’s revenue to grow organically around 3%-5%, combined with accretive M&A or repurchases, ATD can compound EPS in the double-digit range over the next few years.