Eurocontrol Technics Ord EUCTF

Head in the sand

[RE38]

Anyone who disagrees that EUO should spread some of that cash back to shareholders either through a share buy back or dividend has their head in the sand. Haven't you paid attention to the TSXV? Barely over 500 now. EUO is trading well below the cash amount for the deal. This is not the company's fault but the stupidity of the TSXV, but the easiest way to provide shareholders with value right now is sending as much cash as possible back their way rather than using it all to build some long-term plan. If you're not going to do that, I mean, what was the point of selling GFI in the first place? Could have just kept that business as is and collect a 2 cent EPS and everyone would be pushing for a 30+ cent stock price based on fundamentals. 

Worry about any future business initiatives down the road. If they find something and need to do a PP in the future, well if what they found is worth a damn they can always do a PP at a much higher price than today's levels at that time. Right now the main concern is that the market clearly doesn't foresee shareholders getting full value of the deal. Despite proving otherwise with well-timed austerity measures that resulted in ~1000% growth in EBITDA last quarter along with revenue growth and a currency win, the market thinks Bruce is going to blow the cash on magic beans or salaries for some reason.