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Constellation Software Inc. (CSU $2,483.02)
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Topicus.com Inc. (TOI $99.91)
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Lumine Group Inc. (LMN $20.57)
Q: Hi 5i Team - With the continued downward trend of these three companies, do you think it is still now all AI fear related, and if so is there a chance some of these fears are legitimate. I think you have stated that fundamentals remain the same. Have there been any announcements from CSU, TOI, and LMN supporting their businesses and attempting to reassure investors over the past several months.
Has there been any insider buying or selling over the past half year.
It seems that Lumine may be getting hit the hardest of the three. Would that be your opinion as well.
If trimming positions in these three stocks, in what order would you do it and would the reverse hold true if adding.
Thanks.
Has there been any insider buying or selling over the past half year.
It seems that Lumine may be getting hit the hardest of the three. Would that be your opinion as well.
If trimming positions in these three stocks, in what order would you do it and would the reverse hold true if adding.
Thanks.
5i Research Answer:
CSU announced acquisitions today, and it is business as usual (comments posted). Other than last year's conference calls, the companies have not really addressed the issue. But, fundamentals as reported have not changed. Certainly some fear is justified. AI is changing rapidly and new utilization is coming nearly every week. But the group is closely tied to customers, and customers we do not think will just switch willy-nilly. It may come down the road, though. There has not been much insider buying, and we think that would help. All three are down about the same amount this year. If selling, we would sell in this order: TOI, LMN, CSU. The reverse if adding, but adding is tough in these conditions.