BCDRF - CAB Payments: P/E Of 5 While Growing More Than 25% A Year
2024-01-31 18:17:06 ET
Summary
- CAB Payments is undervalued and trading at a PE of 5 after its recent 72% price decline.
- The company has experienced rapid growth - 79% per year from 2020-2022 and 25% in 2023.
- Their scalable, transparent, and cost effective products have a customer retention rate of 96% and net revenue retention of 150%.
CAB (Crown Agents Bank) Payments (CABPF) is an undervalued (P/E of 5), rapidly growing (25% YoY), and out of favor (down 72%) global money transfer business hiding within a 191-year-old UK bank .
In 2016 CAB was acquired by the Africa-focused private equity firm Helios Investment Partners, and in 2019 they acquired Segovia's emerging market payments technology. This allowed CAB to combine Helios’s frontier market expertise, Crown Agents Bank’s relationships, and Segovia’s payments technology and has resulted in CAB Payments growing 79%/yr from 2020-2022. In July they listed on the London Stock Exchange and today over 90% of their business is digital and scaling....
CAB Payments: P/E Of 5 While Growing More Than 25% A Year