Net working capital minus all debt is 124 million against a market cap of 96 million.
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Agree with you SailorRob - the above sentence summarizes the investment rationale. Ben Graham would have loved this stock..
Headline NPAT is misleading- cashflow and balance sheet is where we need to focus in these covid times. STU is not going broke, that is for sure. Management have delivered on their promise (was it "strive"). But, management don't own many shares which is always a concern
Cashflow - 39 million (increasing), Cash 17 million(increasing), debt 10 million (decreasing)
Receivables days - reducing (good)
Payables days - increasing (good)
Inventories - decreasing (capital heavy business, so they will have to carry significant inventory)
Staff numbers are reducing too and there is nothing much to write off I hope
Market cap and liquidity too low for institutions, but that is favourable for retail investors
Discl - Invested from 0.64, bought more in the last week
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