If you extend management discipline to include ethics, then that is the key factor. By their nature, debt collectors tend to be thugs at the bottom end, and stock-market sharpies at the top end. I rate the ethics of the current MD as a significant advantage, because profits and SP movements are so easily engineered in this business. On the matter of managerial truthfulness, CCP management's only peccadillo is that it under promises, and consistently over delivers. This is an acceptable lapse of veracity, in my book.
A secondary positive is the lesson learned from the disaster that TGA survived some eight years ago when it expanded faster than it could expand its collections facility to do justice to the PDLs acquired. A competitor need not make the same mistake to learn that – CCP's experience could suffice to tone down a tendency to be gung-ho.
On the matter of the recent expansion of PDL acquisitions by CCP's USA subsidiary, if it turns out to be a misstep, CCP could simply buy less USA PDLs in future – hardly a train smash.
CCP Price at posting:
$12.72 Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)