Is Benckiser Getting Caribou (CBOU) on the Cheap? Some Say 'Yes'
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Up: 13 | Down: 14 | New: 11
Rating Summary:
4 Buy, 2 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 13 | Down: 14 | New: 11
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The Benckiser Group might be getting Caribou Coffee Company (Nasdaq: CBOU) for a song, according to one shareholder.
Reuters reports this afternoon that Accretive Capital Partners managing director Richard Fearon thinks Caribou should be going for somewhere around $30 to $35 per share, or twice what Benckiser is offering. Fearon said $16 puts Caribou valuation at 0.9 times sales and 10.5 times EBITDA. He alludes to Peet's Coffee & Tea, which went for 2.4 times sales and 21 times EBITDA.
Accretive Capital's largest holding is Caribou.
One Craig Hallum analyst concurred, believing that Caribou holders should be paid a higher premium for the courtesy.
A Thomson Reuters analyst thinks Caribou is going above intrinsic value, which he calculates at $8.22 per share. The analyst took into consideration five-year growth estimates and models that growth trajectory over a given period of time.
Caribou is up 30.5 percent today.
Reuters reports this afternoon that Accretive Capital Partners managing director Richard Fearon thinks Caribou should be going for somewhere around $30 to $35 per share, or twice what Benckiser is offering. Fearon said $16 puts Caribou valuation at 0.9 times sales and 10.5 times EBITDA. He alludes to Peet's Coffee & Tea, which went for 2.4 times sales and 21 times EBITDA.
Accretive Capital's largest holding is Caribou.
One Craig Hallum analyst concurred, believing that Caribou holders should be paid a higher premium for the courtesy.
A Thomson Reuters analyst thinks Caribou is going above intrinsic value, which he calculates at $8.22 per share. The analyst took into consideration five-year growth estimates and models that growth trajectory over a given period of time.
Caribou is up 30.5 percent today.
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