edging forwardWe may not be seeing the effect of the Edge in the share price - yet. The value of the company is higher already, in my estimation, than the present market cap (of $43.96M reported by TD a moment ago).
As the world returns to pre-COVID air travel, Flyht will see a rebound in SaaS. As Uber states, revenue from China will resume as will the revenue from other parts of Asia, particularly AirAsia for the installs yet to do and the SaaS-like Tamdar revenue. (To be fair, AirAsia is lagging behind its peers at present.)
The acquisition of CrossConsense is the cherry on top. A profitable company in its own right, whatever sales come from the synergy of CrossConsense and Flyht are a bonus.
Flyht is approaching profitability again, as it was pre-COVID, and the Edge is not even certified yet. One would think that, with the Flyht sales team out pre-selling the Edge for half a year, the announcement of the certification of the Edge will be quickly followed by announcements of Edge sales.
How much of the KRC target price of $2.70 is for Flyht without Edge, and how much of it is for Flyht with Edge? What will the share price be short-term (without) and longer-term (with)?
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Jan 9: "Malaysia’s aviation sector is set for profitability in 2023 as passenger traffic continues to recover, with jet fuel prices easing and airfares remaining high, said Maybank Investment Bank Bhd)."
"However, the investment bank has revised downward its projection on passenger (pax) traffic handled by Malaysia Airports Holdings Bhd (MAHB) to an average of 78% of pre-Covid levels in 2023, with domestic traffic at 85% and international traffic at 70% due to the slower-than-expected return to service of AirAsia’s aircraft in Malaysia." (Just a coincidence that this article resides at
https://www.theedgemarkets.com/node/650973.)
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Share price targets from the KRC reports stored at Flyht’s site...
$3.40, March 17, 2019
$3.60, May 20, 2019
$3.30, Feb. 3, 2020
“...we derive a target price of C$2.50 (formerly $1.70)”, Feb. 8, 2022
$2.50, Feb. 8, 2022
$2.50, May 12, 2022
$2.70, Aug. 18, 2022
$2.70, Nov. 15, 2022