this is not a growth stock - surely!, page-2

Interest cover ratio now about 5 times??? If so maybe not much margin of safety there for a business in this current climate. Not sure what their covenants would be - maybe 3 times? Balance sheet LVR at about 50%. These facilities were probably renegotiated in the first half, after last years full year results. Extra risk as this is quite a people business, and the equity can walk out the door - so maybe higher ICR? Also if things aren't super busy - key staff can find time set up their own businesses.

Might be a small cap raise coming? Would likely be required for any sizable acquisition I would think.

Will be interesting to see if this can bounce back tomorrow, will provide a better hint as to what the analysts are thinking.

Any comments would be appreciated.

DYOR