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clock Created with Sketch. 31/07/17
22:58
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Originally posted by bensterz
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* My comment on revenue growing at inflation was based on stripping out the impact of acquisitions to get an idea of how the underlying business is performing. You have to do quite a bit of work to strip out the M&A impacts (both buying and selling of businesses) to see. This industry is barely growing and innovations in car technology is reducing the incidence of accidents as time progresses
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They had a similar aqusitive approach a few years ago and it was very much almost their undoing. The growth multiples got too high and the share price dropped from around 90c to around 25c and then they cancelled a declared dividend (yes they pulled it after declaring it) and the stock went well into single digits. They appear to have continued the aggressive acquisitive growth strategy and personally I think there could be a moment in the near future where the daylight in the cracks becomes more evident. Maybe wrong but seen this story unfold before.....
