Anyone want to discuss this stock in a factual manner?
Ok,
So there have been plenty of opinions, but a dearth of data.
Is there an interest in a focused, evidenced based discussion?
A initial rudimentary stab at this.
(Sorry for the typos and formatting-usually, I just read and make my own discussions but the comments here have ranged from interesting and productive to silly.
One commentor has predicted the share price at .05,10, then.3 in the course of one day, without any support)
First a a few disclosures:
- This is a small cap high risk (and potentially high return/loss) stock.
- I am long.
- I have been loading up while Mr Market has been playing his games, and now hold ~600,000 shares
Now a little data...From the Form 20F
Table No. 1
Selected Financial Data IFRS
(US$ in 000, except per share data)
Year Ended Dec. 31, 2014
$3,562 ($1,276) ($2,565) ($2,638) ($0.04) $0
$884
$0 ($1,614) ($369) $2,506
63,395 69,928
Year Ended Dec. 31, 2013
$870 $906 $76 ($45) $0.00 $0
$266 $0 ($61) $434 $819
48,952 52,453
Year Ended Dec. 31, 2012
$512 ($635) ($2,238) ($2,260) ($0.05) $0
$716
$0 ($1,230) ($366) $1,117
41,590 48,053
Year Ended Dec. 31, 2011
$379 $0 ($16) ($16) ($0.01) $0
($37) $0 $0 ($37) $99
1,998 1,998
Revenue
Interest and Other Income
Net Income (Loss)
Total Comprehensive Loss
Basic and Diluted Loss Per Share Dividends Per Share
Working Capital (Deficit) Long-Term Debt
Derivative Liability Shareholder’s Equity (Deficit) Total Assets
Weighted Avg. Shares
Shares outstanding at period end
Year Ended Dec. 31, 2010
$278 $0 ($34) ($34) ($0.02) $0
($21) $0 $0 ($21) $55
1,998 1,998
So we see that revenue has increased from ~.5m in 2012 to ~3.56m in 2014 (and we are told from the SNP website 3.7m in Q1,2015)
The commentary from the company:
Q1 Financial Results
Further to the news release dated June 1, 2015, management wishes to give shareholders further clarity on its Q1 financial statements that have been filed on Snipp's SEDAR profile (the "Q1 Financials").
The campaign infrastructure expenses cited in the Q1 Financials were higher as a percentage of revenue than in past reporting periods as a result of Snipp testing new models of selling services to its customers. The resulting additional costs impacted Snipp's margins in Q1, but margins are expected to return to historical levels going forward.
My take is we are buying a small cap stock.
These are usually stories.
Here we actually have revenues, and an explaination for the temporary decline.
Certain tech stocks like Amazon trade as a multiple of revenue(and have for years) where other value based metrics would suggest it is a silly investment.
There are several catalysts at play:
- The business continues to grow with new deals announced frequently (as opposed to other companies which announce news releases based on marketing data only, disguised as real business-ie EL
- Current headwinds/news have been weighing on the market in general, but disproportionately on small caps
- Uplisting in the US pending
- Next quarter, if company guidance is accurate, could be material
- Geographic expansion seen most recently, beyond North America
- Strategic acquisitions (HIP…)
- Increasing monetization of new and existing customers driving revenues with direct impact on bottom line
I was sad in a way to see it rebound to .51 today.
My bids at .4-.45 were left standing, as I wanted to double my position.
What are your thoughts?