RE:Q3 Preview: 122% Rev Growth w Record EBITDA…Hi Craig, I understand that URL is going to be a driving force in the field and keep growing domains and cross selling their ancillary services to help boast numbers. There is no denying that the sales figures are bright. There still seems to be some hesitation from the savvy investor that can see the large gray cloud lurking in the horizon - that is their multi-million debt obligations due at the end of 2021. Based on current sales and projections URL will not be able to pay that off. I truly think this is the main reason this stock is sitting where it is because the other side of the coins see the giant gray debt cloud that has to be repaid in 14months.
I think that the catalyst here is that if Paul renegotiated the terms and stretch it out so that it would be feasible to pay off the debt in an extended amount of time, it would get rid of the cloud of doubt of their financial future. Some see the glass half full but there is the other half of investors that see the glass half empty and are pessimistic about the future debt obligations. They may be waiting on the oppotunity for a PP to move in with a large position.
until then, the debt question will keep the stock hovering at the multiples where it's currently at.