Forum Topics EML - PFS Fall out
UncleWally
3 years ago

It appears there has been a change in sentiment towards EML in the past week by some advisors.

Aversion has given way to cautious optomism.

A couple of articles on Livewire and Ausbiz implying it is unlikely EML will face as large a fine nor the cost of ongoing compliance as first thought.

I also understand that PFS's earnout will now be considerably less than the maximum $110M possible when the acquisition occurred. Combined with the $170M reduction in price EML negotiated last year, many of the concerns that lead to EMLs SP crash seem to have eased. 

I'm also aware EML has been moved back to BUY by a prominent advisory service in recent days. I wouldn't be surprised if the trend contines, it seems to happen that way.

I suspect as EML addresses these regulatory concerns and the company continues to grow the SP will return to previous levels. It's just that we always seem to take the elevator down and the stairs back up.

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