Comment / Mainfreight – swallow the toad

ID 22410542 © Nui7711 | Dreamstime.com

If you are in the investor camp.

That may well be how you feel about New Zealand’s Mainfreight (MFT) – once a gem, then on the grill, now being served as a cold dish.

With the stock essentially ’dead wood’, in my view, currently changing hands right below NZ$70, MFT trades at a lowly 9.5x Ebitda on a forward basis, its trough since early 2018, according to S&P Capital IQ estimates.

It’s temping to scrape the barrel in the search for deep value.

Don’t.

(Just ...