Good to read some reiterated and positive support in the AFR...

Good to read some reiterated and positive support in the AFR from Steve Johnson (Forager) and Mark Whittaker (Investors Mutual):

https://www.copyright link/personal-finance/shares/buy-hold-sell-pact-group-iselect-thorn-group-fletcher-building-isentia-20181011-h16jug

(Paywall)

Quotes:

Thorn Group (TGA)Mark Whittaker: It has been a thorn in the side, I think it might be one for Steven as well. But look, it's still a buy for us. Look, we talk about margin of safety in stocks which trading at big discounts of value. Trading at about half times book, and you're basically paying for the equipment finance business, largely and that's about it. You're getting the Radio Rental business for free, it's an 80-year-old brand. So it serves a need in the community, it has a function, you're getting it for free. ASIC overhangs are largely in the past, and we think with new management and a good conservative approach to doing business, we think it's well placed. It's a buy for us.

Steve Johnson: So we own the stock and it's a buy too. It's not without its issues this business, but I do actually think it's a good example of a turnaround where there's been a fair bit of progress made here over the past couple of years. Some issues that have been put behind it, a new management team in there, and importantly a new chair who we've had some good conversations with him and we think he's got the right strategy for the business. This is a business that you can touch and feel, go and have a walk around some of their new stores at Paramatta and places where they've got this new format. And I think there's a good chance of that actually being successful. We're actually more optimistic about the Radio Rentals business that everyone hates, than we are about the equipment finance business. You've got Axsesstoday and I think there are going to be problems in that sector with the speed that which it has grown. It has been sort of a bit of a saviour for this business because it has grown in an environment when Radio Rentals has been suffering. I would like to see them do something with that longer term and that the retail Radio Rentals brand becomes a potential growth engine for the business. It's hard for anyone to see that now, but I think there is a place for it in the world and that it can grow over time. So, at half book value, I would have picked it as one of my turnaround stocks for later if you hadn't put it in the show.