Looking good. But a huge risk here is pricing compression, not just from regulatory perspective either.
These sites are usually on contract tender and SPZ has no real MOAT, ANPR technology is very basic. Many competitors with same tech pitching for the same contracts.
Eventually one must expect the revenue share of the parking notices will decrease, and abnormal margins will compress... the actual owner of the site (not the manager) will get a greater wallet share of the ticket.
Own a few shares, but not sure I can underwrite pricing next few years.
SPZ Price at posting:
36.5¢ Sentiment: Hold Disclosure: Held
