illumin Holdings Inc T.ILLM

Guess the low?

[Piggie]

I'm going with 14.31.. bounces off that and I'm adding a little more to my lot.

[Torontojay]

  On Dec 18th the price was $18.13 with a market cap of about $957 million. On the 21st they announced a shelf prospectus offering of up to $250 m which is about 26.1% of their market cap. If they were to dilute shareholders of up to 26.1% then the share price could drop to $13.39 in a worst case scenario. 

[skelterhelter]

Unrealistically pessimistic as youassign 0 value to what they do with the shelf. Prior history has shown they have been very picky with acquisitons and have added value.  This drop is fast money who bought in recently taking profits.

[Torontojay]

The stock market is a zero sum game. Either the acquiree gets the better end of the deal or the acquirer does but not both. In some cases through synergies the acquirer over pays for an acquisition but overtime can compensate for the premium paid through cost cutting initiatives. 

[CptJamesCook]

$3-5 is very realistic to me. it may be a sudden drop. going back to $1-2 is on the cards but less likely.

[p55iwpd]

why is $3-5 realistic to you......share your rationale.

[Torontojay]

I  think we are close to the bottom for the year. I have a $30-$40 target in 1 year which would be based on  1) Nasdaq listing  2) success of Illumin with strong growth in the second half of the year  3) re-rating to price the stock at about 25- 30 times gross profit which is still lower than industry heavyweights 

[Jimbo67352]

I think it will bottom at $7-8 range, $20 was a nice pop , but unrealistic with a PE of 400 , way to high for the stock.

[Thelostdutchman]

All anyone can talk about is the PE. I get it, it's high, but they just turned profitable. The market is forward looking. See MGNI it's in the same space with negative earnings, a PE of N/A and it's valued at 3b USD. Time to look past the current PE. 

[Sellthedream2]

You beat me to it!! We are not negative P/E like Magnite. Acuitys P/E will come down after the most profitable 4th quarter especially they already said in the CC it will be better than last year. Then it will come down even more throughout the year with the increased earnings..  

[Torontojay]

It's better to value growth stocks using price to sales or price to gross profit. If you want to take it one step further use enterprise value rather than market cap.  Anyway, it's important to understand the concept of customer acquisition costs and customer lifetime value in order to quantify the potential for an investment.  customer lifetime value = average value of

[retiredcf]

Have been out all morning but good to see another of these idiots showing up on the BB (7 posts in 2 years on SH and his first one since Aug). Just another sign that it's time to buy. GLTA