Cleanliness is key to the success of GDI Integrated Facility Services Inc.
Shares of GDI Integrated Facility Services Inc. (TSX: GDI) have jumped 54% since Capital Ideas wrote about the company 18 months ago
Capital Ideas Media | February 11, 2022 | SmallCapPower: We first introduced GDI Integrated Facility Services Inc. (TSX: GDI) in October 2017, when its stock price was $15.26 (it has since climbed around 280%). Today, we still believe that the new shareholders of Canada’s largest janitorial services company have a chance to “clean up” their investment.
(Originally published on Capital Ideas Media August 18, 2020)
[Editor’s Note: Shares of GDI have surged 54% since Capital Ideas wrote about the company 18 months ago.]
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GDI offers services such as janitorial and commercial building maintenance, installation, maintenance and repair of HVAC-R, mechanical, electrical and building automation systems, as well as other complementary services such as the manufacture and distribution of household cleaning products in Canada and the United States.
Since the start of the COVID-19 outbreak in North America, the company has stepped up its high-intensity cleaning and decontamination services. Additionally, demand for its food plant sanitation services and healthcare cleaning services is expected to continue to grow in a post-COVID-19 world.
At the time, Industrial Alliance Securities analyst Neil Linsdell had a “solid buy” rating on the stock, citing the expectation of increased demand for cleaning services in the future. predictable” as well as the dominant position of the Company in the sector.
Although GDI made seven acquisitions in 2019, the Industrial Alliance Securities analyst its “active” M&A strategy complementary to organic growth.
[UPDATE: Shares of GDI have gained about 8% year to date in 2022 when most other stocks have suffered a correction. During its most recently reported quarter (Q3 2021), the Company saw its revenue rise 12% year over year to $408.4 million]
GDI has managed to grow with little dilution for existing shareholders, as the The company has approximately 23 million shares outstanding. And, at the time, CEO Claude Bigras held a 13.8% stake in GDI.
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