Added to YB: 2024-08-09
Pitch date: 2024-08-08
VLN.TO [bullish]
Velan Inc.
+174.65%
current return
Author Info
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Company Info
Velan Inc. designs, manufactures, and markets industrial valves worldwide. The company offers quarter-turn valves; gate, globe, and check valves; API 600 cast steel gate, globe, and check valves; corrosion-resistant steel gate, globe, and check valves; API 602 small forged gate, globe, and check valves; API 6D/API 6A through conduit and double expanding gate valves; large forged pressure seal and bolted bonnet gate, globe, and check valves; y-pattern valves; Proquip dual-plate check valves; API 6D/API 6A non slam and swing check valves; quarter-turn valves; resilient-seated ball valves; Securaseal metal-seated ball valves; Coker ball valves; API 6D/API 6A pipeline ball valves; modular double block and bleed ball valves; Torqseal triple-offset butterfly valves; and other products.
Market Cap
CAD 230.9M
Pitch Price
CAD 5.74
Price Target
13.00 (-17%)
Dividend
2.70%
EV/EBITDA
6.89
P/E
-4.89
EV/Sales
0.63
Sector
Machinery
Category
turnaround
Velan, a turnaround play with potential for acquisition
VLN.TO: Leading industrial valve maker, strong in nuclear sector (2/3 global market). Turnaround play w/ acquisition potential. New CEO, improving backlog/sales. $13 PT. Risks: litigation, contract dependence. Upside: nuclear growth, emerging markets, renewables. 72% family-controlled, previous sale interest from 101 buyers.
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