Street View: Intermex investors hopeful for a buyout deal similar to MoneyGram

International Money Express

11/11/2024 23:07

** Money remittance services firm International Money
Express  IMXI.O , better known as Intermex, said on Friday it
was mulling strategic initiatives, including a potential sale in
a private transaction
    ** Shares have jumped 22.8% so far this month
    
    DEEPLY DISCOUNTED VALUATION 
    ** BMO ("outperform," PT: $30) says that IMXI's valuation is
deeply discounted and it believes investors do not appreciate
the company's track record of market-share gains and EPS growth
    ** BTIG ("neutral") says investors are likely hopeful for a
buyout deal similar to the one that MoneyGram received in 2022,
that was ~50% higher than its share price at the time
    ** Adds that it thinks a buyout deal is a potential outcome
of the strategic review
    ** Needham ("buy," PT: $25) believes IMXI's shares could
fetch a valuation of ~10.5x its FY 2025 EPS estimate given the
current growth and margin profile of the business
    ** Monness, Crespi, Hardt ("buy," PT: $28) says strategic
review highlights its views on valuation dislocation and
believes that a MoneyGram-like multiple is possible for IMXI
    

 (Reporting by Arasu Kannagi Basil in Bengaluru)
 ((ArasuKannagi.Basil@thomsonreuters.com))