The previous 2 acquisitions were, at the time of the report, brought in (in annualized terms) 2X as much revenue as GSW was making then. They spent almost 1.5X as much on LOGO, and by some miracle not entirely explained in the last 4C, both their costs and their revenues jumped by about $4M during the first quarter where partial results from LOGO might be expected to show up.
It almost looks like they bought a going concern with a lot of revenue and a lot of costs at a reasonable price.
Holding the idea that these acquisitions might be the tail that wags the GSW dog doesn't seem too biased to me.
The "totally unbiased" article we're discussing here compares a quarter with 1.3 months of the first 2 acquisitions and 0 months of the LOGO acquisition with a quarter with 3 months of the first 2 acquisitions and 2 months of LOGO, without mentioning the acquisitions once.
GSW Price at posting:
72.5¢ Sentiment: Sell Disclosure: Not Held
