RE:RE:RE:bln
Thank you for your inputs Rosewell. I always appreciate a good civilized and articulated argument and exchange!
Their revenues have been steadily growing and at $54M in the last year (despite all the headwinds of Covid-related issues, which have been tremendous!) with no sign of stopping its steady growth - semi-slow, but steady. Expenses need to be reigned in, though you do need to spend to build a bigger company - they're not aspiring to settle for the current revenue level. The large influx of investment from DAK was meant to be spent to grow the company, which is what has been occuring. I think the share price is in part a victim of the much due larger stock correction and the fact that this is is still a small-cap, but also because some investors are getting tired of the timeframe it's been taking to get to profitability and the dilution that they're being the victim of - I'm one of them.
They've also been talking about new upcoming products - I don't have expectations of "killer Apps" there, but will be intrigued as they have spent big money there. They've also been investing in spreading their sales worldwide - that takes time and dollars. Their Canadian revenues now only amount to 20% of their total revenues when it wasn't long ago that they were their main revenue. I believe they are in the business where sales cycles take some time and still believe in the story here - though again getting tired of the dilution occuring in the meantime.
Brendon is one of the co-founders (not a co-owner anymore!), but was then relegated to an lower management/employee position when the "hostile" take-over of the original Blackline GPS occured - don't think he'd have more dollars on the side to buy as he's probably fully invested into this already.
Volume comes when you have exposure, and they definitely need more of it! I seem to recall NASDAQ application being discussed, but I might be wrong. There's been more and more analysts following the company as well. Low volume also means those holding the stock haven't been selling and are staying the course for the long run. DAK Capital also buying smaller lots in the open market indicates they really believe - not talking about the recent larger 200K share lot here.
The oil and gas companies are lined up to make some serious revenues and might be more prone to invest in the solutions offered by BLN as well - this can't hurt in the current/upcoming general downturn of the general indexes.
I don't think this is a "get rich quick" scheme here, but a story with some traction nonetheless and one for the mid to longer term - slow but steady. I believe this is a good entry point for anyone who could be interested in this stock and its business model. Short term stock price is anyone's guess, but I believe 2-3 years down the line or more, this could outperform the general indexes well. Wouldn't take much for things to ramp up either.
But in line with some of your points, I do agree that they don't have enough consideration for their general stock holders - might be another reason why they're having a harder time getting traction on that front.
Their business development is also VERY similar with what they did with BW Technologies ...and you can look what happened there - though the real benefactors are the management/bigger owners again ...again, that's the part I'm not liking at all.
Thanks again for your inputs and well articulated points!