RE:ZUM a buy or passHi, @Lawyerup and welcome to the least interesting board on Stockhouse.
The huge pay for the CEO is the "tell" in this game of three-card monte.
This began as a vanity project for the one named Znaim, an ex-wunderkind from a bygone age of Canadian media. However, the trends are discouraging for this sector at large. Take careful note of the U.S. broadcast/cable media plays, such as Discovery, Fox, Disney and Paramount. They're all tanking. The Znaim doesn't play in those rarified leagues. His brands are less resilient and his revenue stream is, in a word, shaky. Management is not deep at this company. It's just the 80-something Znaim and his acolytes of the moment. Lately he's been overpaying for digital content sites, in an effort to seem relevant.
I don't know what the exit strategy might be for a company such as this. I think an aquisition would bring more scrutiny to Bell, Rogers, Telus, or Corus than the deal would be worth. Prem Watsa's man Rivett might see some point in combining Zoomer with Vertical Scope, but that would be a marriage of two terminal patients. If that happens, you could be swapping ZUM paper for FORA, and that doesn't strike me as a desirable outcome.
Lawyerup wrote: This one came up on my radar because it is close to 52 week lows. Just announced a .003 cent dividend per share in December, p/e is around 7, seems to be profitable. It was 14 cents/share back in January/2022. One big red flag is the huge pay of the CEO for a micro-cap company which is over $1M/year which I think is beyond excessive. Any comments from holders? Cheers Charlie.