RE:Topicus vs ConstellationYeppers12 wrote: So interestly enough, someone asked Mark Leonard during the CSU annual meeting about the share price of Topocus'. His reply was (and I'm paraphrasing), "I think people that are paying price where it is now, have a very low bar for returns. And that I could see the share price moving sideways for 5-10 years much like it did for Jack Henry and Associates in the 80's and early 90's."
Looking at its FCA2S compared to CSU (and this so very simple because there is only one quarter of combined results). Remember TOI reports in euros and CSU reports in USD.
Topicus = 0.71 x 4 x 1.46 = $4.14
$4.14 / $85 = 4.9%
CSU = $12.67 x 4 x 1.22 = $61.8
$61.80 / $1887 = 3.3%
Did you consider there that the earnings per share for Topicus will go down when the share number increases from 39M to around 110M next January after the conversion of the pref equity into common shares? That's going to dilute results per share. I believe post conversion, CSU will also hold around 30% of Topicus common shares. So if you go CSU, you are still exposed to Topicus but would have better return from results then diluted Topicus?