re: Redflex (RDF) - on its way back? Yes TootilsPretty amazing...

re: Redflex (RDF) - on its way back? Yes Tootils

Pretty amazing that such a significant move in volume and value (over 500,000 traded and price up from 43 on open to hit 60 cents before closing in the high 50's) attracted no comment.

Past performance by the RDF traffic division has always promised plenty - but the various hitches that have delayed the roll out of their intersection coverage and the interminable delay around the promised new funding has had its effect on investor confidence I would say.

But the latest announcement of a A$24 million win for three contracts (ranging over 3-5 years) is clear evidence that they remain favourites for even more wins in the future. And as the announcement flagged, the win in the Los Angeles city surely indicates their potential to get further contracts in this massive market.

On top of that, RDF are still very attractive as a result of their likelihood of winning more big value contracts from with their communication area - witness their multi-million dollar sales in previous contracts.

Divesting itself of the Visible Voice division that was chewing up a lot of management time and company resources and was still a long way from paying its way also made the company a lot more attractive IMO.

Despite these recent hiccups RDF certainly looks like a company with globally competitive products and now looks ready to embark on some very solid growth in sales and profitability.

Have held in the past, although got out when the slide from around 1.20 looked to have set in. But at these levels, and despite yesterdays almost 40% hike, it looks to me an attractive investment.

S