ESV's accounts are a bit of a worry for me. They keep stating decent profits but lose lots of money. Receivables now sit at $28m and shareholders have once again provided extra funds. Cash outflows for the last two years after investing are $16m, yet that includes $5m received for Homesend.
The market cap is based purely on Homesend and it generated less than $1m in revenue in the last 7 months and lost $6.5m. ESV may be pinning all their hopes on Homesend but Mastercard certainly aren't and they're the ones in control.
Another one of my speculative punts I took a loss on. Fortunately there were a few winners too.
ESV Price at posting:
58.0¢ Sentiment: None Disclosure: Not Held
