ASX:OFX
OFX Group Ltd Fully Paid Ord. Shrs
Investment Summary
The fund managers believe that OFX Group Ltd represents a significant investment opportunity despite recent price volatility. They note that the share price fell by 32% in October, attributed to a downgrade in the growth outlook due to weak activity in September. However, the managers emphasize that fluctuations in FX markets are typical, especially given the current macroeconomic environment. They view this dip as a chance to increase their position. Furthermore, the management's positive update on the rollout of a new technology platform is seen as a critical factor that could lead to transformation within the company. Importantly, OFX is currently trading at just ~10x P/E, notably lower than its historical average of 18x, further substantiating the fund managers' confidence in its long-term growth potential.
Commentary From The Managers
Blackwattle Investment Partners
31 Oct 2024
$1.46
- OFX Group is a global FX and payments platform for SMB’s and Consumers.
- Share price fell 32% in October due to a downgrade in growth outlook.
- Weakness in activity observed in September contributed to the downgrade.
- Blackwattle Investment Partners used market weakness as an opportunity to increase their position.
- Management provided a positive update on the rollout of a new technology platform.
- This new technology platform has the potential to transform the business.
- OFX is currently trading at ~10x P/E, compared to its historical average of 18x.
- The transformative technology rollout is a primary reason for continued investment.
Please note: The completeness, accuracy or current status of the investments referenced are not guaranteed.