DIIBF Opened positions here on the sell off today. I keep hearing that bicycles are selling like hotcakes as people look to find ways to get fresh air and good exercise while maintaining social distancing. And/or they want to avoid public transportation as much as possible.
DIIBF is a large manufacturer/distributor of bikes including Schwinn, BMX, electric bikes and many others. While At $5.40 today, has had a nice run-up from its lows, it is still way below its $25 SP of 3 years ago. In fact, it reminds me of BGFV, trading at only 40% of book value and .07x sales.
Only 1 analyst follows it that I can see and he estimates the company willl lose 20c in Q2. I expect a strong beat when they report on 8/11.
The company has 3 divisions: The sports division makes the bikes. They also have a home furniture division which should also be doing well as 70% of their sales are online and include home office furniture (check out how well Wayfair is doing). The 3rd division is the junior division and the weakest link. They do lots of kids car seats which really went down last Q under stay at home orders but should be nicely recovering nicely now. It trades OTC in the USA as it is a Canadian company on the Toronto exchange.
