I think TCN probably is still cheap based on 2018 but it will...

I think TCN probably is still cheap based on 2018 but it will remain that way until they can cut out these downgrades and demonstrate consistent profit growth. Also, they haven't really got the cash for an acquisition and an equity raise would destroy value at these prices so perhaps they can borrow if they find something suitable?

I'm not confident the next acquisition will be any good in any case since Statseeker, Urgent and ERST have all been underwhelming. ERST is the best of the bunch which doesn't say a lot given it's ex growth. Underlying performance is actually worse than it seems because they benefited from the fall in AUD after purchasing them.

I buy the story about Urgent transitioning to a SaaS model and delivering more consistent results in the future but it doesn't matter if the other two go backwards.