Q: After a strong fiscal 2025, the momentum seems to be continuing into fiscal 2026. What is your opinion of fiscal 2026 Q1 results and despite the recent gains in stock price is it still a buy?
5i Research Answer:
CWL reported sales of $29.3M, an increase of 37% year-over-year, driven mostly by growth in professional fees. Operating profit grew nicely year-over-year and much of the growth was driven yb increased client demand and activity. We think these were decent results, but the name continues to be a low liquidity, small-cap name with a lot of volatility. It pays a nice yield, but we see better growth opportunities elsewhere right now.