Forum Topics SPZ SPZ UpandUp

Pinned straw:

Added 5 months ago

Up 13% yesterday on volume of $371,823 with no news out. Smells like an insto buying in or adding up.

I don't mind that at all. The current valuation of ~$185M may look a little sharp on a projected ~$5-6M of profit, but under their adjusted EBITDA, which I can accept in their case, it's still reasonable coming in around 12x.

GazD
Added 5 months ago

I see this as one of my higher quality investments. I know there’s regulatory risk but beyond that it’s got great economics and great potential for growth.

it also seems like an easy sell to businesses a little like afterpay was back in the day. Essentially, we will improve your revenues and manage it all for you… why wouldn’t you sign up. If that isn’t clear it’s worth listening to @Strawman meetings where they discuss the business in good detail

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Strawman
Added 5 months ago

I agree @GazD, a nice simple business with a solid value prop. Has been a nice performer so far - wish I bought more!

Might be time to get the CEO back for an update.

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mikebrisy
Added 5 months ago

@GazD I have been a latecomer to this party and I agree with @Strawman that it is a "nice simple business" (the best kind for me). My main question is the lack of moat - surely its a low barrier to entry. But that said, I am happy to let the numbers do the talking.

@Strawman it would be great to get Paul back, and to get his read on the UK regulatory environment (and also if they see a way back in QLD). In the UK, the new government has a lot on its hands, and I don't think parking reforms will feature very high on the agenda. (But, I could be wrong, as Labour is focused on delivering value to "working people" and a reduction in parking penalties could be a "quick win" to deliver some feel good here and reduce some of the "heavy hand".)

My RL position on this one is a "starter pack" as I want to get a better view of the 3-5 year outlook. But I agree that it is promising and no doubt my caution means I am foregoing a lot of the early upside.

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Rick
Added 5 months ago

@GazD @mikebrisy I like Smart Parking. It’s hard to buy a decent holding without turning the dial on the share price though. I’ve got a small holding IRL and like @Strawman I wish I bought more. Even at the current share price it doesn’t look expensive. Using McNiven’s formula and forecast ROE of 25% I get a return of around 10% at the current share price of 53.5 cps. I also like the healthy balance sheet, holding more cash than it has debt.

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