Topic: How To Invest

Q: Pat and TSI team: May have your opinion/advice regarding Exco Technologies (XTC). Thank you.

Article Excerpt

A: Exco Technologies Ltd., $7.30, symbol XTC on Toronto (Shares outstanding: 38.9 million; Market cap: $286.0 million; www.excocorp.com), operates in two segments: Automotive Solutions, and Casting and Extrusion. Based in Markham, Ontario, Exco was founded in 1952. Today, the U.S. accounts for 62% of its revenue. Europe (16%) and Mexico (11%) are its second and third-largest markets, followed by Canada (6%) and the rest of the world (5%). Exco’s Automotive Solutions business designs and makes plastic trays and blow-molded cargo organizers for automobiles. It also offers storage and restraint systems, injection-molded consoles and gearshift boots. In addition, it cuts and sews seat covers and headrests and makes instrument panels, sun visors and door panels. The Automotive Solutions segment accounted for 57% of Exco’s revenue in 2021. The Casting and Extrusion business designs and makes diecast and extrusion tools and parts for aluminum diecasting and extrusion machines. This business segment also gives production and technical advice to extruders and manufacturers working with diecast forms…