illumin Holdings Inc T.ILLM

Alternate Symbol(s): ILLMF

illumin Holdings Inc. provides a journey advertising platform, which enables marketers to reach consumers at every stage of their journey by leveraging advanced machine learning algorithms and real-time data analytics. It enables advertisers to connect intelligently with audiences across online display, video, social and mobile campaigns. Its Programmatic Marketing Platform, powered by machine learning technology, is at the core of its business, accompanied by patented solutions for analytics-led video and mobile targeting that leverages data. It enables marketers by offering near real-time reporting and analytics, bringing accountability to programmatic advertising to deliver business results and help solve the challenges that digital advertisers face. Its illumin software offers advertising automation technology that offers planning, media buying and omnichannel intelligence from a single platform.

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illumin Holdings Inc

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Post by ace1mccoyon Nov 12, 2020 5:30pm

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Post# 31887413

Comments about AcuityAds dated Nov11

AcuityAds (TSX:AT)
Analyst Coverage: Canaccord, Haywood, Cormark, Paradigm, VIII Capital and Echelon

In what has been a wild run-up since the March lows, Acuity has become a darling of the street and is now valued at well over $300m. The team at Virtus has been pounding the table on this name for the last 18 months as an undervalued gem in the tech space and we are pleased to see the market finally recognizing this.
The company reported their financial results this morning with highlights including:
- Total revenue of $26.1m in Q3 2020 vs. $26.9m in Q3 2020, a decrease of 3% (Consensus: $23.8m)
- Adjusted EBITDA of $4.0m in Q3 2020, an increase of 150% year over year (Consensus: $2.7m)
- Positive operating cash flow of $6.7m for the quarter compared to $1.6m last year
- Connected TV revenue up 353% year over year
After a rough month of April, revenue has continued to climb month over month as advertisers view programmatic advertising platforms such as Acuity’s as an engine for growth and resuming normal course of business as consumers make their way back. While the numbers this quarter are impressive, we believe the excitement in the market surrounds the future of this company.
Connected TV (CTV) presents a huge opportunity for Acuity going forward. The industry is still incredibly early in its adoption of CTV – only now are big brands and advertisers shifting more and more of their budgets to CTV as cord cutting continues to plague the linear TV industry. As an example of this transition, P&G recently made the decision to cut all TV marketing budget and allocate the full amount to CTV.
Illumin continues to build hype – the company’s proprietary new self-serve platform which was officially launched on October 1^st has garnered significant interest from large brands and agencies. We believe this can disrupt a rapidly growing industry with a technology that allows advertisers and brands to more concisely build a consumer journey when advertising. While management’s original plan was to begin generating meaningful revenue from the platform in the second half of 2021, we are pleased to report that they are generating revenue in the early stages of Q4 2020. We believe this bodes incredibly well for the future of the company.
From a valuation perspective – analysts believe there is still upside to come. At a $350m valuation, AT is trading at ~ 7x net revenue, vs The Trade Desk (TTD) which at a $35B market cap is trading at over 50x EV/Sales. While there are certainly justifications for the difference in gap, we believe even at this level there is still upside for Acuity.
Potential catalysts
Generating meaningful revenue from new illumin platform
Continued growth in profitability and Adjusted EBITDA
Reverting back to strong revenue growth in 2021