OTC Markets Group: Network Effects, Scalability, And Optionality At Play Here

Aug. 02, 2022 1:00 AM ETOTC Markets Group Inc. (OTCM)5 Comments
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EG Capital
789 Followers

Summary

  • OTCM is a high-quality business that operates quietly and unnoticed in the background.
  • It has consistently grown revenue, earnings, and free cash flow over the years and has disciplined capital allocation.
  • It essentially operates as a quasi-monopoly and benefits from network effects, scalability, and embedded optionality.
  • Insiders own 42% of the company.

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gorodenkoff

Investment Thesis

OTC Markets Group (OTCQX:OTCM) represents an opportunity for investors to buy shares in a high-quality business that is uniquely positioned in the financial ecosystem. It essentially operates as a quasi-monopoly that benefits from network effects, scalability, and embedded

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2021 Annual Report

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This article was written by

EG Capital profile picture
789 Followers
Bargain hunter. Seeking under-valued, unrecognized, neglected, out of favor, or misunderstood situations where inherent value, a margin of safety, and the possibility of changing conditions create favorable investment opportunities.

Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, but may initiate a beneficial Long position through a purchase of the stock, or the purchase of call options or similar derivatives in OTCM over the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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