An update from CVS Group plc ( (GB:CVSG) ) is now available.
CVS Group plc has announced the disposal of its Crematoria operations to Anima Care UK Limited for £42.4 million, aligning with its strategy to focus on core veterinary and diagnostic services. The divestment, representing a 10x multiple of adjusted EBITDA, will enable CVS to reinvest in its UK and Australian operations, enhancing its growth potential while maintaining a leverage ratio below 2.0x. This strategic move is expected to be value accretive, allowing CVS to concentrate on its primary services while still providing comprehensive client care.
Spark’s Take on GB:CVSG Stock
According to Spark, TipRanks’ AI Analyst, GB:CVSG is a Neutral.
CVS Group plc’s score reflects robust revenue growth and strategic international expansion, especially in Australia. However, challenges such as declining profitability and high valuation metrics offset these strengths. The recent increase in investor stake signals confidence, balancing some of the financial and valuation concerns.
To see Spark’s full report on GB:CVSG stock, click here.
More about CVS Group plc
CVS Group plc is an AIM-listed provider of veterinary services operating in the UK and Australia. The company focuses on delivering high-quality clinical services through its network of approximately 460 veterinary practices, including specialist referral hospitals and out-of-hours sites. CVS also operates diagnostic laboratories and an online retail business, Animed Direct, employing around 9,000 personnel, including 2,400 veterinary surgeons and 3,300 nurses.
YTD Price Performance: 19.76%
Average Trading Volume: 279,759
Technical Sentiment Signal: Buy
Current Market Cap: £713.1M
For an in-depth examination of CVSG stock, go to TipRanks’ Stock Analysis page.