Just expressing my personal opinion. Take it or leave it, Jake...and everyone else.
Residential/consumer services revenue fell $25M within the last year. Residential still provides over $600M per year in revenue. The bread and butter. I think the street is concerned that the bottom could fall out at any moment regarding residential service. There could be a mass exodus. How they gonna pay the bills if that happens? I'm still long and plan to hold as long as we see growth in other areas like UCaaS/CPaaS. Probably will take a while. Residential revenue continues to drop $6M/qtr.
My opinion. That would've been sneaky. I'm glad they were transparent with the shareholders. It'll take a while, but this deal should pay off in a few qtrs. It looks like Nexmo has some big customers, especially in London where VG wants to expand.
Right now it seems like the company is growing at roughly the same rate that their residential service business is declining ($6M rev/qtr). That must mean something negative to the bean counters on the street.
"The acquisition is like a fine wine...it improves over time". I hope so. I assume that these API's (Application Programmable Instructions) are an essential tool that Vonage must have in order to effectively move forward into the business mkt. I wonder if the competition (RNG, EGHT, SHOR) software is API capable? I scanned Nexmo's website and looks like Nexmo leadership team is made up of some smart, young movers/shakers. Good luck!
What happened to the $6.50 price target that the genius analysts projected? Someone is full of beans. I'm holding. I wouldn't doubt it if Citron is somehow making money shorting this. This isn't right.
I think you're right. Might take a while for the street to digest what just happened. Technology is changing/evolving fast and not surprisingly difficult for people to follow. I'll have to trust that the VG leadership knew what they were doing. In the meantime I'll be researching what this all means for the future it the company.
This is unbelievable. I'm staying in just because the whole thing is unbelievable and doesn't make sense. I think it'll pay off in the long run. Pure craziness! No rational explanation for what's happening.