compounder I like your thinking but here is my take on...

compounder I like your thinking but here is my take on multiples.

in an industry that is mature, earnings are stable, competition has emerged and then fallen away. A lot of these big pharmaceutical companies that are at this stage can be applied the industry multiple.

take our industry. Huge but moving so fast and still in its infancy. No single company has emerged as the dominant player although I do think tlx is. For these reasons the future cash flows are largely unknown and hence why the market is discounting tlxs true potential. The best news I have seen thus far is the fact a new player blue earth has tried to compete in the prostate imagery market but they haven’t been able to grab material market share. Very quickly this diagnostic market has been taken over by two players.

the market will reward tlx as it starts to tick of the catalysts and the share price will really start to move north as these boxes are ticked. The industry will start the mature by 2028-29 and even though you won’t see the massive growth in revenue the pe expansion will happen to those companies that own the market at that time. That is why I would encourage management to plow all earnings into development, retain key personnel and sit back and watch the price rise.