Hot Stocks Cabcharge (CAB)


Cabcharge (CAB) is a taxi charge account system that facilitates the non-cash payment of taxis, cars, buses and water taxis.

Its customer base ranges from big corporate companies and government bodies to small businesses and individuals

On Friday, the ACCC has ended its investigation against CAB, eventually fining the group $15 million.

The proceedings began in 2009, when the ACCC alleged CAB abused its market power in refusing to allow competing suppliers to process its branded non-cash payment products.

Concerns about loss of market share in addition to the ACCC’s allegations resulted in CAB becoming one the shares to sell in 2010.

However, CAB has been one of the hot stocks in recent weeks following an encouraging full year profit result.

The removal of legal uncertainty saw CAB shares rocket just over 10% on the day of the announcement, and it will be one of the stocks to watch in coming months to see whether its recent gains can be sustained.