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Strategies & Market Trends : Dino's Bar & Grill

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To: Goose94 who wrote (49507)2/24/2020 7:45:10 PM
From: Goose94Read Replies (1) of 203032
 
Centric Health (CHH-V) revisited top pick from Stephen Takacsy on BNN.ca Market Call Monday Feb 24th @ 1200ET

Centric is one of Canada’s largest distributors of medication to senior care facilities. The stock is down because they recently sold their surgery clinics at a lower price than the market expected and did a large equity financing at $0.12 to pay down debt. David Murphy, the new CEO from Cardinal Health, is now focused only on the core drug distribution business and has done a great job cutting costs and improving margins. We see significant organic growth opportunities to grow their customer base. Centric also now has the balance sheet to make accretive acquisitions to consolidate the institutional drug distribution space. The shares have the potential to triple through organic growth and acquisitions, plus an eventual sale to a larger player as has been the trend in the U.S. We bought a large block of shares in December to average down.
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