Post by
profitprophet1 on Jun 02, 2022 1:40pm
Buy rating issued
Daniel Rosenberg of Paradigm Capital Markets views SNIPP Interactive (SNIPP Interactive Stock Quote, Charts, News, Analysts, Financials TSXV:SPN) as a sound investment option, maintaining a Buy rating and C$0.30/share target price for a projected one-year return of 94 per cent in an update to clients on Wednesday. Vancouver-based SNIPP Interactive provides mobile marketing, rebates and loyalty solutions in the United States, Canada, Ireland and internationally through its suite of products, including solutions for mobile receipt processing, a promotion and sweepstakes platform and data analytics with the aim of helping brands better understand and engage with their customers. Rosenbergs report arrives after SNIPP Interactive released its first quarter financial results for the 2022 fiscal year, which Rosenberg noted to be above expectations as they were headlined by revenue of $4.2 million (all report figures are in US dollars, unless otherwise noted) to beat the Paradigm estimate of $3.4 million while also producing a 63.6 per cent year-over-year increase, which Rosenberg attributed to strong organic growth and a record backlog, which came in at $10.8 million for a 44 per cent year-over-year increase. The revenue beat also led to solid performance on the margins, as SNIPP reported $2.4 million in gross profit for a 35.3 per cent year-over-year increase while beating the $2 million Paradigm projection, while adjusted EBITDA of $0.3 million was in line with the Paradigm estimate of $0.2 million. Overall, SNIPP ended the quarter with $1.9 million in cash available with no debt, aided by a $5 million investment from Ballys Corporation after they purchased a minority stake in SNIPP in April, with the funds to be used to fund sales and marketing purposes, along with general working capital. Company management indicated that it successfully completed its first integrations with Gambit Rewards, a proprietary and patent-pending platform for turning loyalty points into free-to-play tokens which it acquired in February. Gambit is also getting a boost from Ballys in terms of rebranding its platform, which Rosenberg believes could accelerate user growth beyond its 16 million annual visitor count.
Comment by
stockpickerone! on Jun 02, 2022 2:59pm
Sweet - wonder why the stock hasnt fallen with the good news ROFL
Comment by
OPENHEIMER on Jun 03, 2022 7:41am
These "annal-list" reviews and recommendations, are just that. Based on blue sky assumptions, and there is nothing in their reports to validate how they get to a target of $ 0.30. Based on what sales and profit growth ?? The market is not stupid. We will continue to flounder.