adamerick and mobileguru, please, just answer this question
Before the last few threads got highjacked by questions as to who I am, I was trying to ask a simple question. Love me (anyone?) or hate me (it seems quite a lot), I assume everyone wants an answer to this: how do you justify 5x revenue multiple. The three deals you listed (quattro, amobee, admob) are not comps. The only comps i see, public or private, are much lower.
Believe it or not, I am not being antagonistic, I really, truly would like to konw if you guys know of deals out there I dont. I actually am not a deity and so do NOT know all.
Sorry I was out all day yesterday, I can see you've been busy. I am a little time constrained right now, but let me try and help you. I'll be happy to get more granular later if this doesn't suffice. I think if you actually worked in the space itself and were on the ground floor of what's happening, seeing it with your own eyes, you'd have a very different perspective than what you have derived from the screen of your Bloomberg terminal. Your comments remind me of the saying there is book knowledge and then there's real life knowledge. Book knowledge isn't going to give you the full story, especially since the space's evolution is only just now in the first chapter.
I believe the entire space severely undervalued. MM, VELT, and AUGT alike. I think it's time to be buying many mobile related stocks. Unfortunately, there are few comps because the space is just now emerging from an embrionic stage and there are few publicly traded pure plays. I still insist MM is absolutely one of the best comparables out there. Since you're new here, you probably missed where I explained in great detail the differences and similarities between the three companies in the past. You can go back and find those posts on your own time, you'll find them insightful and accurate.
I predict that HC is eventually more valuable and deserving of a higher multiple than MM because HC is skating where the puck is going and not where it is. The power of mobile is where HC is. Do yourself a favor, look at HC's website and who their clients are. Better, talk to some of them and see what they tell you. Look at their current 20% q over q growth rate and just ask yourself if their clients will be spending more or less on mobile in the future. I spoke just the other day with a CEO from a well known large ad agency. This is the key, he stated the mindset is moving from impressions to engagement. Engagement is and has been HC's entire philosphy since it was founded. Remember, MM is only an ad network and can't do what HC does in terms of actual engagement. HC alone exclusively has the foundation capable of fully delivering the ability to engage and reengage the opted in consumer. That's what brands want and why they will pay a higher cpm, that's the future.
Please don't hesitate to ask me any questions, I may be able to add more to this later. I think the more investors actually know about the space and company, the more they'll begin to realize just what a compelling opportunity it represents, especially at the current depressed price. Have a great day.
Aurin....can you explain to us why you don't think Amobee and admob are NOT a comp for Augme. Please give the technical write up what they do throughout in the space that have to comparison to what Augme does in whole or part.
Not sure I (or anyone else) understands that 2nd sentence. But as for the first, I don't know how much clearer I can be vs previous posts. Why don't you read those and then if you still have questions let me know. Or better yet actually spend time doing your own work. Only way to really invest, doing primary work, not taking te word of some random dude on a chatroom. But at least spend the 20 mins reading what I've already written. It's one thing to be lazy. It's another to ask me to repost things for your benefit b/c of said laziness