CMS looks set to dominate Bpayview payments in Australia. The last two announcements now give them access to over 300 local councils. I would not be surprised to see them sign up a good percentage of these over the next year. This will see them cash flow positive and in real $m profits.
With only 88m shares... if they can get just $5m ebit with say a multiple of earning of 8, that puts the shares at 45 cents. That still leave them with 5m excess cash in the bank to either go and buy a cash generating add on business or hand back to patient shareholders.
Anyway... just thinking out loud.
CMS Price at posting:
0.0¢ Sentiment: None Disclosure: Held
