Micro-Cap Compounder dominating its Niche with unique Technology- Part 1
Today’s company operates in the MRO (Maintenance, Repair, and Operations) sector, a sector unfavored by many investors due to its “boring nature.” However, that’s why I like today’s company so much. They have adjusted their business model by using unique and innovative technology to offer a special service and benefit from multiple competitive advantages.
Today’s post will be Part 1 of the analysis. We will discuss the business model, competitive advantages, and possible risks. I hope that at the end of this article, you will understand what I like so much about the company.
Part 2 will feature Financials, my thoughts on Valuation, and my Investment Decision. Why split this analysis into two parts?
First, I don’t want this article to become the length of a Deep Dive. Second, I still have some open questions, so I want to take another look and answer them before making a final investment decision. So, today’s article provides an easy-to-digest explanation of the business, followed by more quantitative aspects in Part 2.
Executive Summary:
Unique Technology sets them apart from Competitors
Extremely loyal customers and a Business Model with huge Upselling Potential (a spiral of improving services and financials)
Lots of Skin in the Game by Key People - 67% of Insider Ownership
Undiscovered because it is too small for Institutional Investors