One of the Most Unknown Compounders of CapitalThe lack of posts is even more of a reason to like this company, no one knows about it.
The Growth in their Network Access division is strong and drives EPS growth in Fiscal 2015 validates management strategic goals and direction.
The Return on Equity of this company is consistent and what has made it a great stock over time as it doesn’t dilute shareholders to grow, in fact the company is in their buying back shares with you buying back shares funded through cash flow (not debt) in the amount of 1,100,000 shares.
In Fiscal 2015 the ROE was 37.6%on EPS growth of 85.2%, holding the valuation constant, at that compounding rate constant it should double every 2.5 years. (Chart don’t Lie)
On a P/E Basis it is trading on a forward basis of 17.5x at a projected growth rate of 37% which gives you a PEG of 0.47.
This is the type of company that is going to each the lunch of the large established internet and telephone providers.
Why would I ever invest in Bell or Rogers and get a yield of 4% and minimal capital appreciation when I can buy a company like Tucows and they can grow internally at a rate greater than 30%.
LONG