Q: CSU cash flow was up an impressive 33% and organic growth continues to trend above historical average. Yet the shares have taken the worst beating of its public life, down around 35%, and now trade at a very reasonable valuation. Is it not in the best interest of shareholders for CSU to invest in its own stock at this point of time given these unique confluence of circumstances?
Thanks.
Thanks.
5i Research Answer:
While many shareholders would welcome a buyback, the fact is that CSU makes such a high return on the majority of its acquisitions, that it likely would prefer to do accretive deals rather than buybacks.