Hi Doc, I still have a small position in TRIB and have added
at the current undervalued levels. I believe Trinity to be a
potential buyout candidate because of the tax advantages
of its Ireland based location. I still have a position in ABAX as well.
Your outlook over the years has sure been refreshing.
I have enjoyed the banter.
Heska has certainly been a turnaround, and credit should go to Kevin Wilson.
It is my feeling that Wilson has enough personal stake in the company that continued
good times are ahead. What marked the difference from the former Grieve tenure?
Wilson is a marketing genius. He created and sold 2 successful companies before
leveraging the Cuattro takeover of Heska. IMO HSKA will be acquired in the next few years.
For now.....I am happy with the growth and leadership Wilson has brought to the company.
However...Heska is richly valued and I see better value opportunities in other equities.
I am keeping a position but am cautious on new money in Heska for now.
Omar, I too have a large position in SRT and I am a
disgruntled shareholder. If you believe the FED who
says there is no inflation, talk to my wife who owns
her own Home health company here in Startek's home
state of Colorado. Scale for CNA's has gone from
$12hr to $14 in the past year and and she cannot
find skilled nursing staff. Wage based inflation is here
and the enemy of call center companies like SRT
who depend on thin margins to trade dollars.
The Grand Junction Daily Sentinel is running daily
job advertisements for Startek who can't find new
hires. Startek has been forced to increase compensation
packages to attract employees. Startek has been
floundering for years trying to diversify their concentrated
customer mix and the business is a lousy model for
every provider in this sector. SRT has had 6yrs
coming out of the worst recession in our lifetime and
it needs to buy another floundering provider, Accent,
just to slow the bleeding in the legacy business?
IMO Startek should have put itself up for sale a year ago.
Rb, I have known this company longer than the so called
analysts who have commentated over the past 5 yrs.
I was there when StarPak was a packaging company
for Microsoft and Broderbund in 1987. I knew Morgan
who founded the company. Its nice to have the analytic
guys who project growth and income. But here are the facts.
Startek is a service business that trades dollars and has no moat.
Guys like Omar have been continually wrong over the last 4yrs
in projectiing income growth because they do the antilicital
, and miss on the subjective fact that out sourcing trade dollars is
a #$%$ model. Omar told me 4 yrs ago that Startek was his only "Only"
holding. Lets let history be the judge of an analyst who has been
as wrong as his investment allocation. If you owned SRT 4 yrs ago
you are upside down with Omar leading the "Strong Buy" cheer.
It was nice to see Adam Goldstein ask Carlson
to address reasons for the sharp decline in
telecom business. Carlson was evasive and
claimed he had warned investors of this decline,
but IMO he has been less than truth full. In the
end he cut Adam off to change the narrative.
This guy Carlson should be packing his bags
along with Lisa Weaver. Maybe he should go
on the road and do Woody Harrelson impressions.
Thanks to Adam for asking the tough questions.
Ulrik, The general market has turned bearish.
The August selling by Grieve and Napolitano
is telling. To me it has been a signal that I
should also take money off the table. Many are
going to cash. Heska has been one of the few
bright spots for investors in 2015.
I still believe there are better times ahead for
the company. But the short term is questionable.