You raise a good point. I also do believe that ATMs have a...

You raise a good point. I also do believe that ATMs have a structural decline risk. The world is moving towards electronic currency. That said, what you fail to consider is that your view is myopic. Very close minded. You fail to consider where the ATMs are located. The company's most profitable ATM is located in the outback of Australia, where cash is used quite a lot. The company positions its ATMs in area that offer exceptional returns. If they don't make much money, they will be located elsewhere.

You also fail to consider that STL is more than just an ATM company. It's a integrated financials firm, with exposure to switching and EFTPOS. Switching revenue should only just start to hit the bottom line. The company just acquired INDUE. EFTPOS revenue hasn't hit the bottom line yet. Furthermore, all the ATMs are generating exceptional returns.

There's very little risk of a capital raising at this stage, unless the company wants to acquire a new venture. Management didn't want to do a capital raising to fund INDUE. But it happened because some of the finance options fell through. It was originally going to be funded purely by debt. My view is that STL is worth at least 7 cents per share based on the FY18 numbers.

It's difficult to go wrong from this entry point, IMO. STL is a great short term/ medium term hold. At least a 2-5 bagger on the cards by this time next year, I'd say.