No cases on the horizon in Australia.
Very true regarding a low barrier to entry and fierce competition between those ride sharing companies.
I am short, and for good reason.
Can you answer how you would expect a turn around in a business that is competing against loss making ventures like Uber or Didi or Ola?
Where can a company like this with it's large overheads (in comparison to ride-share), make any margin against a loss making competitor?
Not a level playing field and why should it be? This is business and society has figured out a new way to operate that is more efficient and cost effective.
Buying A2B would be like buying Blockbuster franchise. Surely there are companies undervalued out there that are not in such a terrible & dwindling market like the taxi business.
If your investment thesis is buying due to the 0.01% of people who need to transport their kids when on holidays in a taxi and driving in taxi lanes :-/ Hmmm. You can do better than that.
The CEO of A2B won't even touch the shares in his portfolio and has a bonus scheme setup that does not include impairments to the balance sheets. So regardless of the crappy job they do with acquisitions or other bad investments, they still get paid.
Be wary, this is a company now being bled dry and a vehicle for working the system to extract funds from those silly enough to give them more.
IMO you only buy into a company (not a share, but a company), if you can see it existing in 30 years and with a long pathway to growth.
Plenty more fish in the sea.
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