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19/11/19
14:52
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Originally posted by casajack:
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Disclosure - I'm arguing for the sake of arguing. Sounds like there are quite a few lawyers & loyal holders in this stock. I can't distinguish between the two, but further analysis into the answers & period in question (FY18) throws up the following: ISX declares one-integration fees are immaterial (in their view & should not form basis for valuation) after misclassifying - yet they make up 50% of this particular year. High Integration fees correspond with high COGS in anticipation of future revenues - to which there were none from the two large contributing clients who paid for integration. I agree FY19 & early FY20 numbers look far more promising with revenues seemingly now recurring, but "we're fine now" is not an argument for discounting or pardoning past indiscretions.
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Considering that they have made a "mistake" in their past numbers then how do we know that they haven't made more "mistakes" in their future numbers??? Especially since the "mistake" account for the overwhelming majority of the 5 million that in turn, released huge amount of performance shares.