Quartix Holdings Plc is one of Europe’s leading, real-time, vehicle trackers has announced it will be publish their annual report for the year ending December 31st 2015 on February 29. Aside from the fact that this date occurs once every four years, is this the time to buy?
Quartix themselves say that they are expecting financial results to exceed expectation. If this eventually turns out to be true then that could mean a healthy rise in stock value. So far the most recent interim report has been promising with revenue and net profit rising significantly. This is a good indicator for Quartix successfully achieving and hopefully exceeding their goals. In addition to this, we can see that their net debt is a lot lower than the pre-tax profit which has always been a good sign for financial stability.
Something that may worry investors is the fact that this company seems quite expensive. Firstly the P/E ratio is 31.75(very high) and if you take a look at the full year pre-tax profit(2014) of £5.0 million its fits 24 times into the market cap of (approx) £120 million. This is also very expensive.
If you are willing to go out on a slight whim, this company may be a good buy but if it seems far too expensive then maybe Quartix isn’t the best place for your money.