BV - BrightView Holdings: Business Realignment Can Unlock Value

2024-02-07 04:21:45 ET

Summary

• BrightView Holdings is realigning its business strategy by integrating tree and golf services into core maintenance branches and divesting non-core U.S. Lawns franchisee.
• Expect its operating margin to improve in the medium term and also a cash flow improvement in FY2024.
• BV's stock appears undervalued compared to its peers, and investors can expect steady returns in the near-to-medium term.

BV Has Upside Despite The Challenges

I have previously discussed BrightView Holdings (BV), and you can read the latest article here . As discussed in my previous iteration, the company will continue looking for profitability improvement. However, it will look to refine its approach at the start of Q2. It realigned the business by integrating the tree and golf services into core maintenance branches while divesting the non-core U.S. Lawns franchisee. The sale proceeds will be used to upgrade the lawnmowers, thus improving the operating margin. Also, it will lean away from the residential market to focus on the commercial market....

For further details see: