WM - GFL Environmental IPO: Parabolic Growth Fueled By M&A
With recent double-digit revenue and EBITDA growth fueled by acquisitions, GFL Environmental Holdings (GFL) has done impressive work. If the company continues acquiring other players, we don’t see why growth would stop. With that, the total amount of leverage is substantial, which will most likely push the valuation of the company down. With this in mind, in our view, GFL is a buy at 4x-5x EBITDA, but it could trade, after the IPO, at 7x-4x.
Source: Prospectus
Source: Prospectus
Business
Founded in 2007, GFL Environmental Holdings offers environmental services in the United States