We’ve seen how rollups can be an amazing source of growth, but they can also be painful when they come unstuck. In this episode of Buy Hold Sell, we look at 5 companies that are growing by acquisition. We ask our panel whether momentum will continue for the glamour stocks, and will the fallen angels make a comeback?
- Mantra: Possible soft earnings guidance and currency headwinds.
- National Storage: Good idea, but priced for it.
- G8 Education: Demand for the service. Government support. Possibility of bank finance. However, well into their strategy and organic growth lacking.
- BWX: Big opportunities in US and Europe, as well as China. However dependent on a single brand.
- IPH: No assets, principals cashed up and have been net sellers, currency headwinds, escrow stock coming out, lack of organic growth.