The company is seeing positive growth in the tolling and enforcement business, and it has a revenue backlog exceeding $500M. Its market cap is around $228M, and its price has begun to turnaround since the summer, where it announced a credit relief program for its subsidiary. The company expects a stronger Q4 as certain revenue from two of its tolling projects was pushed into subsequent periods due to scheduling adjustments. Its balance sheet is OK, profit margins have been improving (while still unprofitable), and its valuation is cheap (trading less than book value and a forward sales multiple of 1.2X). We feel this could be the beginnings of a turnaround for the company, but we would like to see sustained progress on its efforts towards profitability and growth.
5i Research Answer: