illumin Holdings Inc T.ILLM

Latest Assessment

[retiredcf]

Any thoughts on Illumin Holdings? It seems to have a lot of cash still on hand. 

ILLM has struggled with growth and execution, but shares are up 15% YTD. It has $71M net cash on hand, vs a market cap of $136M. Cash flow was slightly negative though in the last 12 month period. Growth is expected to resume, but it will still likely be unprofitable into 2024. Shares are very cheap vs the US peer group, and this is why we continue to own it in our Model Growth Portfolio. But we are not adding right now, and need to see better momentum and execution here. (5iResearch)

 

[campst]

i am likely the most optomistic contributor to this board.  As I've said before, i don't rhink we will have a good feel as to where the company is headed until Q4/23 results. Checking the six month and three month charts, you will see that most of the high volume days are green.  Current technicals are good, albeit this is July (and yes, I'm aware many don't use

[Torontojay]

The major risk is that the company is banking on the success of Illumin. It's a one trick pony so to speak. There is no other diversification to its business model. Another problem I see is that margins on self serve Illumin is only 30% compared to 55% on managed. If the company achieved $200m in Illumin revenue, then gross profit would be exactly where it's at today but with additional

[campst]

The margins on self serve will improve with volume.