TRTN

Triton International Ltd

Industrial/Transportation


Presented:06/14/2021
Price:$51.32
Cap:$3.46B
Current Price:$79.55
Cap:$8.05B

Presented

Date06/14/2021
Price$51.32
Market Cap$3.46B
Ent Value$10.79B
P/E Ratio9.94x
Book Value$32.20
Div Yield4.35%
Shares O/S67.37M
Ave Daily Vol540,777
Short Int2.59%

Current

Price$79.55
Market Cap$8.05B
Triton International Ltd. is a lessor of intermodal freight containers. It operates through the Equipment Leasing and Equipment Trading segments. The Equipment Leasing segment involves in operations, which include the acquisition, leasing, re-leasing, and ultimate sale of types of intermodal transportation equipment, primarily intermodal containers. The Equipment Trading segment focuses on the purchase containers from shipping line customers, and other sellers of containers, and resells containers to container retailers and users of containers for storage or one-way shipment. The company was founded on September 29, 2015 and is headquartered in Hamilton, Bermuda.

Publicly traded companies mentioned herein: COSCO SHIPPING Development Co Ltd (2866 HK), Triton International Inc (TRTN)

Highlights

The presenter is long shares of Triton International Inc (TRTN), which is the largest intermodal container leasing company in the world. Its market share in the leasing industry is 28% and growing, according to the Drewry Container Census & Lease Industry Annual Report, and the next largest player is Florens at 17%. Despite its strong competitive positioning, scale advantage, solid fundamentals, impressive management team, and long growth runway, the stock trades like a commodity leasing business at $51 per share (~6x earnings). As the market gains a greater appreciation of the sustainable growth opportunity over the next six months, the presenter thinks TRTN can “easily” trade into the $70 per share range based on a modest ~8x P/E multiple. 

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Idea Discussion

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