Good revenue and payment volume growth, consistent gross margins of mid to high 40%, $67m on the balance sheet and burned $17m last year. The ability for financing due to their banking licence and excellent insight to customer revenues also makes Tyro stickier and more powerful than peers. Scale helps too.

I was thinking this looked cheap yesterday before the announcement of their highly respected CEO stepping down. That was noting what may be a weaker consumer market and slowed growth of transaction volumes.

I don’t love using EV/Revenue, and I’m not sure what it should be, but I don’t think 0.87 is correct (that’s assuming forward revenue of $326m and based on the 68cent price today when I took a nibble).

I may establish a larger position once the dust settles and would love to hear a contrarian take … on my contrarian nibble?

***CEO is moving to Star Casino.