Janus International: Timing And Size Of Acquisitions Impact Value Proposition

Hong Chew Eu
1.18K Followers

Summary

  • Janus relied on acquisitions for double-digit growth in a mature sector with low organic growth.
  • The company's recent acquisitions have led to improved operating and capital efficiencies, creating value.
  • The market is pricing Janus based on future acquisitions, but the value can only be assessed when the timing and size of the acquisition are known.

Self storage units

stockage

Investment Thesis

Janus International Group (NYSE:JBI) is in a mature sector with single-digit organic growth. To deliver double-digits growth, the company adopted an acquisition-led strategy. The company achieved improving operating and capital efficiencies with this growth model. This has led to

This article was written by

1.18K Followers
BSc (Eng), MBA. Self-taught value investor with 2 decades of investing experience. Blogger at i4value.asia. The blog is on value investing through case studies where I analyze and value listed companies in the ASEAN and US regions. I have an exceptional perspective having served as a Board member of a Malaysia listed company for several decades. I have value investing book "Do you really want to master value investing?" on Amazon

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

Recommended For You

About JBI Stock

SymbolLast Price% Chg
Market Cap
PE
Yield
Rev Growth (YoY)
Short Interest
Prev. Close
Compare to Peers

More on JBI

Related Stocks

SymbolLast Price% Chg
JBI
--