Expect the worse.

Those of you who thing that TLS is near a bottom had better think again.

The market wants confirmation that TLS can stabilise revenues, and grow them over the medium term at GDP + 2%.

The next couple of quarters for TLS are critical for this reason.

Another couple of quarters of negative revenue growth in the -1.5/2% range would raise significant doubts about the viablilty of 4%+ growth that's being predicted in analysts models.


NO ONE in the market likes a company with FALLING REVENUES.


If the trend is confirmed over the next few quarters, TLS will be trading at a significant discount to the market... on a PE in the vacinity of 11/12.

Based on current EPS of 30/31c, TLS has the potential to trade as low as $3.50 in the medium term.


Be prepared for more falls in the near future if the trend of falling revenues is confirmed!


TLS is a high risk/low return proposition in the near term for this reason.


STAY AWAY!