Could be fanofstan, particularly if they have followed the CEO and are familiar with his history as you were.
We are in a very strange market. In many cases up is down and down is up. I don't think QE and ZIRP forever align with a logical market, even though the market is often illogical anyhow.
That said, you often get lots of M&A in late stage bull markets and this one seems like it would be an ideal takeout if the IP is viable/scalable given the infrastructure build.
Maybe fanofstan. Total outlier again from the other 3. I'm not convinced since it ran up into earnings also. Could just be algos and those behind them playing games or this could be real accumulation in anticipation of something in the near future.
This led like this just like it did going into earnings, although today's percentage jump is huge it's hard to judge whether this is technical trading or anything more than that. Volume is definitely on the high side though at nearly 100% above the 3 month average with over 90 minutes left in the day.
What a move today on decent volume. Looks like a 50% retrace from recent high to low so far.
Not sure if any notes out or?
I wasn't thinking of it from a short term perspective but you are and were right, It makes sense that this would put pressure to the stock while it's occurring.
No worries. I have posted in the past that a takeout would make sense if they are cutting edge since they have been building an infrastructure which might make them attractive.
Do you think the hedge funds care about anything other than making money?
According to the Nasdaq site nearly 89% of shares are owned by institutions.
If you know when they are going anywhere then you're all set. Otherwise.........................
You should know by now that the playbook here is that they come in at or just above their numbers and guide the same way.
What the market does with that is generally in question.
Deferred revenue is another metric to look at and how well they are managing costs.
It's up big after hours.
First off, was there any comment about acquisition in that particular post? I was talking about valuation and that this had previously dipped below TBV. It had gotten to $5.81 while trailing TBV was roughly $6.68 the previous quarter.
Secondly, if someone where looking to take these guys out they should consider valuation metrics besides IP, addressable market and other factors.
Book value and tangible book value are now one and the same since they took a Goodwill impairment.
BV and TBV are down to $6.33. Last time it traded well below TBV which had been about $6.68 if I remember correctly.
Market conditions may have a lot to say about that.
You ma not have noticed it but lots of stocks get thugged around for no reason at all.
Many, many stocks have run counter the markets on up moves..
I'm not saying you are wrong I'm just not saying you are right.
I agree its hard to prove they have lied fanofstan because they have even admitted being naive on one of the calls.
However, why did they not lower guidance earlier when it was more and more evident they had little chance of meeting their guidance.
Basically, they already proved out the revenue recognition issue so why think that this quarter it would suddenly be different.
I'll keep my eye on this to see how it holds up and if it tests the tangible book level and see if insiders step in again.
It may be in the 10Q but I'm wondering what their typical down payment is for non recognized revenue and specifically where does it stand now.
I think the sooner they can firm up the criteria and force the customers hand the better. Of course there's a fine line here as they are trying to build a recurring base and customer service is way up on their list for doing that.
Is that presentation on the site? I had the chance to listen to a good portion of the call.
If you take them at face value that was good news as is their projected year ending cash balance projection midpoint of $20M is what I believe I heard.
It's hard to take these guys at 100% face value but that would be good news with the revolving credit $15M still untapped.
The bad news is still a lack of credibility due to horrible internal forecasts. Additionally, I know they mentioned collecting down payments, how well are they vetting these clients so that acceptance of machines eventually happens and they get fully paid?
Based on quick math it looks like tangible book value is down to $6.33.
I understand their revenue recognition issues but the full year revenue growth remains negative as does the cash burn.
See how it trades over the next week or so.
I read it last night. a few strong positives which should help going forward, supply contract with one of the four majors and being included in the bundle by CMS.
Sounds like it's a matter of time so the short and distort is still in play until it isn't. Good chance their time is winding down.
I'm still not following but I'll get to the transcript if it's out on SA.
I had the call on but was on another call so couldn't listen closely at all, all 30 minutes of it.
Why the congratulations? The 6 cents it closed up in after hours on a little over 30k shares?
I'll read the transcript later.
I'm sure they'll be questions about cash burn and whether any raise is expected anytime soon even though they were able to get the $15M credit facility.
I have no position long or short and had i had one would have sold before earnings since they have as of yet to deliver.
The technicals don't always foretell the future but the call and the trading day tomorrow should be interesting.
Yup. looks like more of the same.
They are in a tough spot on revenue recognition and that needs to be vetted through in terms of backlog. They did take a none cash impairment on their Goodwill and lowered full year guidance to $40M which still implies $15.8M to $16.9M in Q$ depending on which set of 9 month revenue figures you use. (The $24.2M that the CEO states or the $23.1M that shows in the table as 9 month revenue).
I'll probably listen to a replay of the call or read the transcript of the call within the next few days.
For those who have gone through the details of the backlog and other items with a fine tooth comb please post your opinion.
The stock recently has been down 16%-21% on light volume 10k-11k shares after hours.