Sangoma Technologies Corp T.STC

PenderFund Manager's commentary

[skibum45]

Just a quote from Dave Barr's most recent May 20th commentary for April, with link to the full commentary below:
"Portfolio Update
We did not add many new names in the funds in April. Instead, we increased weightings for a few existing holdings that sold off in April as a result of the ongoing volatility in the tech space, such as Cloudera Inc (NYSE:CLDR) and Sangoma Technologies Corp (TSXV:STC) for the Pender Small Cap Opportunities Fund, and eGain Corp (Nasdaq:EGAN) and Zillow Group Inc (Nasdaq:ZG) for the Pender Value Fund."
https://www.penderfund.com/commentaries/the-managers-commentary-april-2021/

[CandyC]

So they lost even more money than me since April? I still see a $6 SP within a year but I'm getting a bit more concerned 

[1994vsha]

I thought that my average up at 3.60 was a good move. Oops lol. Anyway this is a bit painful to watch but long-term this is a big winner.

[CandyC]

It would be great for management to put out a statement regarding the 25% drop in the last 2 weeks 

[Captain71]

I agree cause I’m a little confused here. On quarterly reports, usually one-time expenses don’t merit such a selloff. Are inflation and currency concerns making some investors nervous or are we just having an evaluation adjustment? Or is there a fundamental change that only select investors are aware of? GLTA

[snowtigerrr]

Inflation concerns are definitely valid especially considering how much they overpaid for Star2Star.

[AlwaysLong683]

snow, why would you say STC "overpaid" for Star2Star? According to STC's press release dated January 29, 2021, Sangoma acquired Star2Star for "...approximately US$437 million, consisting of US$105 million in cash and 110 million common shares of Sangoma". If you like, please read STC's press release dated January 29, 2021 in full and tell me why $437M US was

[snowtigerrr]

The market is fickle and sentimental. Many don't read the MD&A or acknowledge the one-time expense and see the loss being potentially indicative of a shift in forward earnings. Some sell knowing this is what others believe. Selling begets selling. The stock has been ahead of itself; despite the drop it is trading 13x 2021 EBITDA now which is fair.