I think you are right about Canadian microcaps being too cheap in general. Another name, I think, that has a high likelihood of getting taken out in the next 24 months is Accord Financial ACD.TO. It trades for less than half of book value and less than 60% of tangible book. The company is a highly competent originator but it’s cost of capital constrains growth so a sale to an aggregator with a lower cost of capital would be beneficial to all stakeholders.
I think you are right about Canadian microcaps being too cheap in general. Another name, I think, that has a high likelihood of getting taken out in the next 24 months is Accord Financial ACD.TO. It trades for less than half of book value and less than 60% of tangible book. The company is a highly competent originator but it’s cost of capital constrains growth so a sale to an aggregator with a lower cost of capital would be beneficial to all stakeholders.
I'll look at the company. Never heard of it before. Thanks for sharing!