Q: Bird construction reaching ATH's this week, too late to join the party ? Where is the momentum for this run coming from?
5i Research Answer:
BDT is a $2.6B name with a decent valuation of 18X forward earnings, forward earnings growth estimates are strong, and its backlog continues to grow. Increased infrastructure spending, the Build Canada initiatives, and it could be a beneficiary of the arctic sovereign initiatives. Margins are expanding, and while it has historically had some cyclicality to it, it is now benefiting from solid tailwinds and we think it can continue to perform well here.