Concurrent (CCUR) could at least triple by early May! Ericsson (ERIC) had big news last week that they are paying Microsoft (MSFT) just below $200mm to acquire MSFT's Mediaroom multi-screen IPTV video software solution in order to gain access to 11mm pay-TV subscribers and increase their reach to 16mm pay-TV households for a 25% share of the multi-screen video market.
CCUR has deals signed to deploy their multi-screen video IPTV software MediaHawk with the #1 pay-TV companies in Germany, Japan, and the UK. These clients have a total of 14.8mm subscribers and CCUR has already completed 2 of the deployments! These deals will make CCUR #2 in the multi-screen video space after ERIC!
CCUR has a very low 8.72mm o/s and is trading for just $6.16 with a market cap of only $53.72mm. CCUR has $24.6mm in cash and an enterprise value of only $29.12mm, which is kist 0.44X its annualized revenue of $66.4 million and only 3.5X their cash flow from business operations over the past nine months! CCUR's video delivery business also has the largest video on demand (VOD) market share with a reach of 50mm households worldwide!
CCUR's video business is currently receiving NO value at $6.16 per share! CCUR spent $15 million to acquire a company Everstream, their Media Data Intelligence (MDI) division, which tracks TV viewing behavior of 35mm pay-TV subscribers, a 35% pay-TV MDI market share. CCUR also owns a "real-time" ultra high performance computer business, which has been in business since 1967 and powers simulation devices widely used in the defense and automobile sectors! Just CCUR's real-time annualized revenues are now $27.6 million and this business is most likely worth over $25 million!
CCUR's video business now has $33.8 million in annualized revenues and a conservative valuation of $100 million for it would make CCUR a $18.88 per share stock. Just CCUR's real-time and MDI businesses are probably worth $40 million vs. CCUR's enterprise value at $6.16 of $29.12 million!