Inflection Point On The Horizon For Horizon Global Corporation
Lousy expectation management regarding the Westfalia acquisition, mishandling the restructuring of the Europe-Africa subsidiary, and a decline in expected EBITDA have caused the stock to drop 85% since late 2017.
We may be close to a pivot point due to the change of the CEO and CFO.
The debtholders have previously amended the debt covenants. I don’t see why this time would be different.
I recommend buying the stock with a target price of $10.40 offering a 3.3X upside.