It's a very tough market where OVH operates at the moment.......disruptors are falling away - e.g. RD1, Sargon (was going to compete in fund services). Grow Super is out to market for more cash after raising $25M last year. Spitfire Corporation is struggling, with multiple exec exits and a massive cash burn. RBC exit means many OVH competitors are lifting capital expenditure to make fresh assaults on the market and looking to proven disruptive technologies. ASX CHESS replacement project means more Capex required to remain relevant in fund services.
We are only seeing the beginning of the strife for all players in this space. Will be a survival of the fittest. And if any of these "body shops" (for that is what they are), including OVH, get hit with CoVid-19, they would be in severe pain.
Not a pretty picture ATM, and not just for OVH.
OVH Price at posting:
21.0¢ Sentiment: Sell Disclosure: Not Held
