The Shyft Group (SHYF), mcap=$742m, price $21.21 vs $30.13

Pitch: Commercial truck body assembler that has been transformed by its new CEO from an underperforming loser into high performing and market-leading powerhouse. Exposure to the fast-growing market of package delivery and EV trucks. High double-digit ROICs. Management’s goal to double revenues and increase EBITDA +170% by 2025 seems credible and achievable.

Valuation: SHYF trades at 4x 2025 EBITDA, based on mngmt’s 2025 goal of $1.8bn in revs (vs $1bn for 2021) and $265m EBITDA (vs $95m for 2021). $90/share target assumes 11.5x EBITDA multiple.

Exp. gain: +200% to $90/share in 3 years

Full SHYF write-up (free guest account required):

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