Here's what I think:
First, I'm a bit disappointed with their decision to spend $47.9 million on share buybacks instead of using that money for a special one-time dividend to incentivize long-term shareholders.
Alternatively, they could have distributed 50% of that cash as a one-time special dividend and used the other 50% for share buybacks.
However, I understand why they chose to reduce their ownership. They have delivered solid financial performance and returns on the share price. I view the $47.9 million as a form of compensation for the board members' hard work.
As someone who has been holding the stock since 2018, attending every earnings call where no questions were asked for many quarters, this is a bittersweet moment.
The fundamentals remain strong, and I believe management will continue to run the company well. I've reduced my position by half but will continue to hold the rest as long as the fundamentals stay intact.
So, where is the next ten-bagger? I am building my position in Quarterhill(QTRH). I have a strong sense that this company has significant upside potential. My intuition tells me that in 3-5 years, the returns could be comparable to DRX. Get in before it gets crowded, and be sure to do your own due diligence.