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Bull Of The Day: MobileIron (MOBL)

Brian Bolan

MobileIron (MOBL) is a Zacks Rank #2 (Buy) and it is the Bull of the Day.  Normally we have a stock with a Zacks Rank #1 (Strong Buy) holding the title of Bull of the Day, but today I want to show you a stock that looks to be breaking out.  With all the Trade Talk and Geopolitical drama dominating the headlines, this stock has moved steadily higher over the last few months and just broke up over $7 yesterday.  Higher highs are coming for this stock so that 52 week mark of $7.42 is in sight.

Description

MobileIron, Inc. provides mobile IT platform that enables enterprises to manage and secure mobile applications, content, and devices while offering their employees with device choice, privacy, and a native user experience worldwide. The company's MobileIron security platform also comprises MobileIron Threat Defense to identify zero-day threats on the device, across networks, and within client apps, and then initiates a security response, from notification to remediation of the threat; MobileIron Secure Applications for end-user productivity, such as enterprise app store, secure content, secure email and PIM, remote troubleshooting, and secure browsing applications, as well as MobileIron AppConnect, an SDK and wrapper that third-party developers integrate into their applications to provide security through additional encryption and advanced security controls. MobileIron, Inc. was founded in 2007 and is headquartered in Mountain View, California.

Earnings History

The earnings history is ok for MOBL, not great, but not bad either. I see two meets, a miss and one beat in the last four reports. The beat was 4 quarters ago and it was a monster. The company reported a gain of 2 cents when a loss of two cents was expected and that translates into a 200% positive earnings surprise. Over the course of the last 4 quarters, the positive average earnings surprise is 45%. 

Estimate Revisions

Over the last 60 days we have seen then estimate for this quarter slip by a penny. That move also caused the full year estimate to slide by the exact same amount. Next quarter is standing firm at a gain of 6 cents. For next year, the Zacks Consensus Estimate also holding still at $0.08.

Valuation

For the next 12 months, there is not going to be positive earnings. But as you read in the last paragraph there will be positive earnings in 2020. That said, I see 10% topline growth and price to sales multiple of 3.7x. Margins are still negative for now, but I see some improvement over the last few quarters in operating margin.

Chart

MobileIron, Inc. Price and Consensus

MobileIron, Inc. Price and Consensus

MobileIron, Inc. price-consensus-chart | MobileIron, Inc. Quote

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