WSTG - Wayside Technology

[watsa_is_a_randian_hero]

Does anyone follow this company?

 

Positives:

• Significant revenue growth from management over the last 10-20 years. 
  High Magic-formula valuation
  Consistently returning cash: Cash negative from financing (net debt repaid/dividends/buybacks) every year for 20 years
  Strong balance sheet - no debt; At the same time, Capital efficiency - very light on cash
  Not be best-in breed technology company from a product perspective, but still has good tailwinds
  Scuttlebutt such as reviews on glassdoor are pretty good for a company its size
   
  
• 
  

 

 

I've owned since 2014; the current decline perplexes me.  I understand margins have been falling (as compared to last 5-10 years), but are still in line with longer-term averages.  Am I missing something more here, or is this all driven by margin concern?