Q: Can you comment on the current merits of Tfii.Is the founder preparing the company for his retirement/sale?
5i Research Answer:
We do not believe the CEO has any intention to retire/sale in the medium term. TFII continues to do well, and has a solid record of acquisitions. It may spin out a division next year (Daseke). It trades at 19X earnings, which is not cheap for the trucking sector, but TFII has proven itself for decades now. It has survive economic downturns, Covid and other events, and has always come out stronger. The balance sheet is OK, and solid earnings growth is predicted. The stock is up 15-fold in the last eight years, and it has created a lot of shareholder value. We continue to like it.