RE:Quarterhill on the movePossible Barney, but I don't think so.
If you recall from the last call, Myers acknowledged that QTRH had abandoned the traditional institutional business and did not pursue additional coverage. He said there was some reintroducing that needed to be done. I believe there would be some circling back on presentation that had been made earlier in the year. He also indicated that there was some clean up to get done before year end and that there was one, maybe two contracts that would transition to operations, with higher margins profiles. One was announced yesterday; another was announced in mid October.
I think that is what we are seeing, plus a belief that exposure of QTRH to the larger institutional buyers, funds and brokerages is on the horizon. I understand that this will begin early in January. I see a push in both Canada, because of an already knowledge of QTRH, albeit probably outdated and stateside - because that's Myers and Lewis home turf and the USA is where the revenue will come from.
In addition, as projects transition from implementation to operations, margins can be expected to improve; however, an addition positive is that there is now room for new business, especially at ETC. If QTRH has smart management, which I believe they do, they will have anticipated capacity for growth and will have new business in the near term hopper.
As I posted yesterday, I’m seeing a carefully choreographed move on the stock price. There is little doubt in my mind that management wants a momentum story to take on the road in January; as part of that pursuit, it's clear to me that they want to enter January at or near 52-week highs.