12:15:46 EDT Sat 20 Apr 2024
Enter Symbol
or Name
USA
CA



Linamar Corp
Symbol LNR
Shares Issued 65,177,226
Close 2016-02-08 C$ 51.03
Market Cap C$ 3,325,993,843
Recent Sedar Documents

Successful Inv says buy Linamar

2016-02-08 21:31 ET - In the News

The Successful Investor, in the February, 2016, issue, says buy Linamar Corp., recently $62. The Investor said buy 14 times from December, 2007, to June, 2015, at prices ranging from $3.71 to $82. Sister publication Stock Pickers Digest said buy eight times from July, 2002, to October, 2007, at prices ranging from $8.95 to $25.11. Assuming a $1,000 investment for each of the 22 buys, the $22,000 position is now worth a pleasing $91,078. Linamar recently agreed to pay $1.16-billion for Montupet SA, which is a French maker of aluminum car parts and has plants in Europe, Asia and North America. Linamar will borrow the cash it needs for the acquisition. This will increase its $541.5-million long-term debt (as of Sept. 30) to $1.8-billion, a high 45 per cent of market cap, but still manageable, reckons the Investor. The deal should close in February and boost Linamar's profits as carmakers increase their aluminum usage to reduce weight and increase efficiency. Excluding Montupet, Linamar will likely earn $6.95 a share in 2016, and currently trades at just 8.9 times that estimate. Its 40-cent dividend yields 0.6 per cent. Buy.

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