RE:RE:RE:Valuation & NCIB Rekor matters.
Analysts that perform any EV/EBITDA analysis of the ITS industry include REKR in their table.
This is a pure play ITS company. It is also supposed to grow quickly and produce EBITDA next year. On future EBITDA it trades at 6X.
But this is where we are in the market crash. Multiples have shrunk as a result of higher interest rates. Now earnings are going to crater from inflationary effects and from companies pulling back spending. And it is all but confirmed for Quarterhill with no patent deals and announced ITS deals less than last year.
Then the analysts pound the stock one last time cutting estimates and growth estimates. Then when they are done flogging the dead horse and some cutting coverage of the stock will you find a bottom.
Yes, ITS is less volatile than the patent business. But ITS is still very volatile.
And the stock pays a dividend and you are supposedly "paid to wait" but in the last two days you have lost 2.5 years of dividends in 2 days.
1.75 and falling. Forced Liquidation is on deck.
Remember that story about Cassandra?