RE:Recent financials and contract Well said Ottawa. I'm feeling the exact same way. The last quarter there were only two NR's, one for a 250k contract and the other was unknown which didn't sound like any big amount, and yet they booked over $5M in revenue, none of which Doug felt necessary to NR. That surprised a lot of investors.
In 2021, there was only one millon plus contract announcement for $2M in Jan and they booked $17M+ in revenue. One big contract completely changes the multiples for this company.
At this SP you're getting good value for a great company as is without any future potential for large ALE contracts that we all know Gatekeeper is trying to win. These contracts could litterally double their current revenue. Live trials are currently being conducted and RFP's have been submitted. None of the Transit authorities we've heard of (TTC, Septa, City of PHA) have installed ALE yet, so we know they still have the potential to land these contracts. It's frustrating for everyone, I'm sure Doug included.
I think the broader market tech selloff is also impacting the current SP.
Ottawa10 wrote: Can’t argue what’s on our screen… it’s ugly. Probably only longs buying right now. $250k contracts won’t draw in new investors.
With all that said, I was pleased with the annual financials. What I find interesting is there is a lot more revenue being booked than I’m seeing in news releases. What this tells me is GSI has a lot more unknown revenue than we realize. That’s why I find these 250k contracts meaningful. Also interesting is Doug is clearly giving us no details on who and where this deal is from. I am actually more intrigued by the vague NR’s than the detailed ones. Makes me think such deals are of greater fundamental significance to the company.
Lastly on septa, at this SP it’s as if the market is banking on no future deal or deals with any of the discussed transit authorities or the related projects. For me that’s crazy and given the opportunity I will be adding to my position. If this was a debt laden, no-revenue generating micro cap that was talking about transit authority deals in the tens of millions, maybe I’d hesitate buying more shares. but GSI is far from that. I’ll be humble and not comment on the present SP, again, I can’t argue what’s on the screen.
GLTA