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YANGAROO Inc V.YOO

Alternate Symbol(s):  YOOIF

YANGAROO Inc. is a technology provider in the media and entertainment industry, offering a cloud-based software platform for the management and distribution of digital media content. It provides advertising, entertainment and awards management software workflow solutions to customers across multiple geographic regions. Its Digital Media Distribution System (DMDS) platform is a patented cloud-based platform that provides customers with a centralized and fully integrated workflow directly connecting radio and television broadcasters, digital display networks, and video publishers for centralized digital asset management, delivery and promotion. DMDS is used in the advertising, music, and entertainment awards show markets. Its ancillary production services include a short-form version for direct response customers and long-form digitization. It focuses on optimizing its television traffic instruction workflow and enhancing its television legal clearance offering.


TSXV:YOO - Post by User

Post by PlanetURFon May 07, 2020 10:10am
123 Views
Post# 30997341

I don't like lack of insider ownership

I don't like lack of insider ownershipSo management sounds really positive, they rake in large salaries, but they are not buying. If they really think 10% market share is realistic, the shares are absurdly cheap. Why are they not buying? They don't seem to care.

Instead what has happened is that relative market share in audio has decreased. Canadian advertising revenue has decreased, they promised 15% growth 10 months in 2019 that did not show up. They disabled investor relations mail. They no longer have a presentation with their annual report. And they seem to be up against larger competitors that they are falling behind. Destiny has grown their audio revenue nicely while YOO's revenue has shrunk.

And Destiny is moving into Canada now, where Yangaroo is dominant (see news release earlier this year), and suddenly management starts talking about innovative audio deals in Canada (where they should have near 100% market share already?

And now they start talking about making acquisitions, even though management owns barely any shares. This is usually a bad sign. They were supposed to have a really nice platform here that could take 10% market share? Why waste cash reserves on acquisitions? If they owned a large piece of the company, I would trust them more, but it just seems like unecessairy risk taking.

But I have been wrong before, selling out some major winners way too soon. So DYOW and all that.

Still keep a small position because it is statistically cheap here.


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