The problem for BVS is they paid dividends to pump up the share price instead of investing in their software. Go back 7 years they had the best software in this space. Now probably the third or fourth. See in today’s Fin regarding Australian Super maybe leaving Link. Bravura listed as one of the potential tenderers. This is the sort of opportunity they have blown. Tony Klim and the other senior execs who cashed in around $5 knew what they were doing. They knew the under investment would come home to roost. This now requires in depth industry knowledge and an understanding of SaaS technology. Neither of which Libby has. I’m sure she’s competent but she’s the wrong person to fix a big and growing problem. They are unlikely to win much new business in the short term and they will need all their resources to keep what they have while they try to play catch up. Hence the big downgrade. Only upside in the short term is a buyer.
BVS Price at posting:
78.0¢ Sentiment: None Disclosure: Not 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)