GREY:ISYRF - Post by User
Post by
fatcharlieon Nov 06, 2019 6:45pm
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Post# 30318170
Some Positives
Some PositivesLooking at LTRX first, this deal makes this company much bigger going from a $70M market cap to over $100M. LTRX trades at a discount, share value is over $4/share so it is undervalued at present. Presently the growth rate for LTRX is roughly 15%. Including ITC would move the growth rate up to roughly 25% which is not bad. LTRX is based out of LA so not that far from ITC in Vancouver. Add in LTRX would be able to sell more of ITC products south of the border because it is now an American company (I am looking at possible US military contracts) with a bigger market. Finally, yahoo has one year target of LTRX over $5/share and TipRanks has it as a moderate buy with a target of $4.25/share.
I have to admit at first I saw this as another sellout to shareholders but we might in the end do okay with a combination stock and cash deal if LTRX ends up bouncing over $5 next year. I don't have a huge amount of shares in ITC but probably will see how this plays out rather than jump to any conclusions right now. Just my two cents. All the best, Charlie.