CNW is incredibly undervalued when compared to DTL (Data 3).
Both organisations are primarily focussed on IT Infrastructure/Services/Managed Services, however DTL has a large "Software Licensing" business unit that is traditionally a very low margin game.
"Crude" numbers show $14m Market Cap for CNW on approx $80m Revenue, compared with $273m Market Cap for DTL with just over $1b Revenue.
Neither business making significant profits with EBITDA lower than 2% but CNW should be able to outperform on this front as they get the economies of scale that DTL should already have as top line grows.
Share price should conservatively be $0.035-$0.04 in my opinion.
CNW Price at posting:
2.1¢ Sentiment: Buy Disclosure: Held
