Hi Bruce (assuming based on your email),
GFL is one of North America's leading waste management companies. The company IPO'ed in early March just as this bear market was starting out. It is worth noting that this was the company's second attempt at an IPO. The previous one failed as the offering was deemed to have valuated the company too 'richly', for lack of a better term.
The company ended up pricing its IPO at US$19.00 per share, which was below the US$20-24 range it was seeking.
Since it is a new IPO, there isn't much data or performance to go off of. You have to dig into their prospectus to get an idea of what their story is all about.
This is a company that has grown significantly through acquisitions. Since 2007, it has made more than 100 acquisitions and revenue has grown by a CAGR of 58% over the past three years. Growth however, has come at a cost - the company is highly leveraged. It has yet to turn a profit and has racked up $7.684 billion in debt. It has a debt to equity ratio of 5.78.
GFL opened at $23.30 on the TSX back on March 3rd and is now trading at $18.59 per share. The 20% dip is respectable considering the current bear market. This is not surprising as the company operates in a defensive industry.
The debt however, remains a problem. So too is the lack of profitability. In comparison, competitor Waste Connections (WCN.TO) has a DE of 0.66, is consistently profitable and has growth earnings per share in five consecutive years.
GFL will benefit from lack of industry options. In Canada, the only other meaningful publicly traded waste management company is WCN.TO. This alone will increase interest in the stock. If we are looking at the two however, WCN appears to be in much better financial position.
Mat