Codere is an established retail gaming operator in Latin America, Spain and Italy. Following macro and financial difficulties, it completed a successful operational and full debt restructuring in 2016. Q119 net debt/ adjusted LTM EBITDA of 3.1x is comfortably within banking covenants. FY18 revenues declined by 10% due to the 75% devaluation of the Argentine peso, but adjusted EBITDA increased 3.4%, largely due to the new management's performance initiatives. Barriers to entry are very high and future growth should be driven by online, Mexico and Spain. The free float is limited and OTC shares are subject to a restrictive shareholders' agreement. Positive cash flow is expected in FY19 and the stock trades at a deep discount to peers at 3.9x EV/EBITDA and 7.4x P/E for FY20e.Den vollständigen Artikel lesen ...