Yes the EBITDA to market cap is pretty poor and that is a problem with the stock. But I think the main issue was with the traffic ramp up figures. They predicted numbers which never came to fruition and that caused many shareholders to leave. This in turn led to cash flow problems and of course the current poor EBITDA. Not to mention burning the trust of many original shareholders.
That being said Melbourne does have poor peak hour traffic flow, an ailing public transport system and a lot of expansion towards the SE. This may aid the ramp up of the road and there is evidence that the figures are constantly improving. Like you I hope to see TCL take a stake in CEU and generate some interest. Aside from that the business of CEU is pretty simple to run and barring any financing mishaps should continue rolling along.
CEU Price at posting:
43.5¢ Sentiment: Hold Disclosure: Held
