Q: Momentum is very strong here and price hitting new highs. Would a secondary issue make sense here and do they require much capital for growth plans? Would it make sense to pay down debt?
5i Research Answer:
An issue would not really surprise us; total debt is not really that high, but capital could be used to accelerate growth. But, at 12X earnings, even with the stock higher than before, it is not really expensive on a valuation basis, so management might be reluctant.