I am a new comer to this stock, started buying after the FY results came out.
Looking at the metrics, this stock is expensive PE wise at SP 2.04 sits at ~20 PE. To justify the high PE I reckon at least 10% EBITA growth is needed. If no growth, the PE should be closer to 14 to be reasonable.
The risk growth wise are Banking partner/regulatory pressure/No moat to competition, there also seems to be a big fraud/unauthorised issue with their travelex card in Apr-Jun 2015 (going by the travelex card review online).
However the main business is transferring money country to country, and this seems solid so far with a competitive rate and lack of complaints regarding the service.
Personally I am investing in this one with a view I may lose half my money if it doesn't work out, if it does work then this is a sure long term growth stock. I wouldn't put more than 10% of the portfolio in this one.
The IPO price was $2, so current price is a good entry point for first parcel. Personally wouldn't touch it again unless it falls to $1.8 or something (18x 2015PE)
OFX-my thoughts, page-30
Add OFX (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
$2.30 |
Change
0.030(1.32%) |
Mkt cap ! $551.9M | |||
| Open | High | Low | Value | Volume |
| $2.29 | $2.31 | $2.29 | $402.3K | 175.0K |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 19 | 22447 | $2.29 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $2.30 | 9884 | 14 |
View Market Depth
| Last trade - 12.37pm 29/07/2024 (20 minute delay) ? |
| OFX (ASX) Chart |