I would appreciate it if you could spell out your comparison points in detail. Also, you seem to be conflating better company with better investment. Just want to sound out my thesis and see if I am not thinking correctly.
From the persistently higher PE, market is loud and clear in its love for Route. Route seems to be more consistent in its growth. Tanla has better long term growth metrics, but higher swings. OPM for TA la has been much higher longer term. Quarter sales run rates are now comparable for the two.
Route management appears more trustworthy and capable than Tanla. Tanla management comes off a bit immature, overpromising, under delivering etc.
While Route may be a better biz, it’s stocks are priced very richly compared to Tanla (always have been). Thus from a return perspective, higher chance of turnaround jump in Tanla. Unless of course, there is a bigger risk of revenue collapse for Tanla compared to Route.
Market may be wrong, there is a chance that it may have misjudged Tanla, there is a chance that it may have overrated Route. If we consider the huge TAM for CPaaS, then a dramatic revenue slowdown would be surprise to me. Thus, TANLA is a better stock than Route, IMHO.
Both tapes have been on a rapid downslope since Dec 2021. But Q1 flopshow of Tanla clearly shows up against continued Q1 growth for Route.
Incidentally, any idea why dead cat bounced 15% today?
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