Offically Nuts ....

I call it .... we have officially moved in to nuts valuation territory. I get that management have not covered themselves in glory of late and I get that we have a few sellers who have had a gut full and now want out no matter what and I get that there is possibly a capital raise or rights issue on the horizon but at 15.5c this thing is ridiculously cheap.

They are a top 3 player in an industry that is structurally growing and has decent barriers to entry, we have been told that sales are improving (although we have not quantified this), If you whittle down their corporate costs and stop (the seemingly never-ending) investment in to IT they would be profitable at corporate entity level even on current revenue. They are trading on 1.25 x book and 0.7x revenue. The two major shareholders are deep pocketed and supportive so moderate amounts of debt and finance are not an issue. I am putting it down to the cures of the small cap and volatility and liquidity issues that accompany this part of the market. Anyone got a view on what I might be missing ? As I am getting p>>>ed off keep nibbling at lower and lower prices.