I think the market is also becoming aware of the fact that there are some scalability issues because of the nature of the business they are in.
I understand there are substantial contract wins, and the top & bottom-line prospects of the company in the future also look good. However, it requires significant investment for the company, not just in allocating capital for fixed assets but also in a skilled workforce and retaining the same over time. The complexities of the products they build are reflected in their margins. Still, in my view, the scalability for such a business is all about execution, and with increasing size, investors cannot think of any non-linearity in the growth of the top-bottom line for this company.
Disc: small tracking position
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