Seems the answer is in selling their bus company for net proceeds of circa $184M. If CAB pay off their debt (~$97M) that leaves $87M, or $0.72/share available for a capital return.
Some have rung the death knell of CAB on the basis of Uber and driverless taxis. This is utter tosh, imo. History teaches that fundamental changes in society take a lot longer than anticipated while technological break throughs take a lot shorter.
Driverless is not likely to impinge on the taxi industry for another 10 years, minimum. I take this view because the main area of driverless development will not be taxis, let alone private cars, but vehicles that ply a set route - busses, delivery trucks, and possibly short and set point to point people movers (ie, not free ranging taxis). The upgrade required in roads and traffic systems alone (essentially, bespoke lanes) make this scenario far more likely.
CAB Price at posting:
$3.51 Sentiment: Buy Disclosure: Held
