Can anyone explain why MOA would pay $3.5mio for an Italian Restaurant with around $800k for EBIT?? seems over the top
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Can anyone explain why MOA would pay $3.5mio for an Italian Restaurant with around $800k for EBIT?? seems over the top
I’d Dave to have a look at npat to be sure but 5x multiple probably not bad given they need this sort of a business to drive beers sales, plus with america’s Cup coming up might have required a slight premium. Not a Hundy though.
As someone who once owned a restaurant. It's simple. Many people are scrambling to open restaurants because they think it is easy. Myself included. Restaurants work only if you can upscale. The margins are slim so you have to try to increase revenue at all costs either by offering added value items (set menus, cocktails etc) or acquisition. It's a masochist's game going into this business. I worked myself to death for not much yet I still think fondly back to all the memories I made.
I don't know if ive ever looked at this thread before. A friend who used to post on S/T brought my attention to MOA. And having listened to their thoughts and done some research, ive bought some. Thanks to your posts too silver blizzard, you articulate accurately and clearly and make a lot of sense.This trend/morphing of MOA has a very good chance of being successful and with projected rev of $40 mill plus and ebitda of $3.6 mill and a price around 32c looks great value indeed if they meet that guidance. Check the location of the bars etc fantastic.
ASM 2019 NZX Presentation Slides
MOA Vogels Mixed Grain toasted Ale
https://youtu.be/d5YXLSg9Mds
Could mix a good brew out of you too Fungus;)
I really like the way this company is implementing this turnaround strategy. It seems the premium portion of MOA was doing well as a standalone, and now with Savor there is a hospitality portfolio under MOA.
My reasoning for thinking MOA will do extremely well in 2019 are three-fold. Firstly, its at all-time bottom. No i'm not one to play as an advocate for trading a shareprice rather than a business, but that introduces a notable margin of safety. Secondly, the hospitality portfolio adopted is quite the artifical monopoly, with the restaurants all being in a extremely popular summer time destination (and one extremely favourable for America's cup). Lastly, the recent report was excellent.
I feel like I'm alone in this sentiment as no one else has really committed to this company.
Read back a couple of threads , you're not alone.