Q: What are your thoughts about goeasy and Diageo? Value traps or attractive at these levels?
5i Research Answer:
We have dozens of comments on GSY and its weakness posted. DEO is also cheap at 13X earnings, with a good dividend. But, industry trends are against it, and unlike GSY it has less pure growth potential. As a UK company we do not follow it, but we would view it more as a trap than an opportunity.