Fundamentally stable (company not SP! hahah) - negative sentiment is providing a buying opportunity IMO. Would be surprised if this doesn't bounce off $1.05... Oversold on fundamentals, declining margins were well explained in the HY report - decline in new PDL acquisitions also well explained in the report... Is this a short term event - yes. Are there strong tail winds for debt collection - yes. The CEO leaving is the only worrying announcement.
How are the margins of other debt collectors holding up? I will find out... Unless a competitor has a business model which is vastly different to CLH or CCP all will feel the effect of higher PDL price, and have the same margin pressure... Lots of sellers this morning.
CLH Price at posting:
$1.19 Sentiment: Buy Disclosure: Not Held
