I would think TGA's consumer finance businesses would be more resilient as unemployment rises and discretionary income levels are suppressed in the event of a recession.
They would probably also be able to expand their debt ledgers for NCML by picking them up at cheaper prices. There will be an increase in demand for collection services as well.
It's hard to see many businesses prospering, but some have counter-cyclical qualities that will provide resilience. What's ailing TGA is the outcome of the government's review and the uncertainty around it, and it is not alone in that respect.
TGA Price at posting:
$1.78 Sentiment: Buy Disclosure: Held
