Bango Share Discussion Threads

[aleman] 27/3/2019 20:45

Hi, Glasshalfull. I hope you are well and prospering. (Which investment stint/thread/company do I remember you from many years ago?)


From your twitter link to Cenkos numbers and your link to Edison numbers (which I had copied to this thread - thanks):

Cenkos show Globo 2020 EBITDA is £6.8m and £6m cash and current market cap is £66m @94.5p - about 9 times EBITDA after cash and a little over 10 times before. Edison show Boku 2020 EBITDA is predicted at $22.5m/£17m and $51m/£39m cash and current market cap is £260m @106p - about 13 times EBITDA after cash and about 15 times before. Bango look quite a lot cheaper on next year's forecasts and look to be growing a bit more quickly, although there is no guarantee Bango will keep edging Boku on revenue growth and EBITDA margin to hit those targets.

Don't you think GBO look the cheaper of the two on these forecasts? (Potential dilution not considered.)

I think they both look very interesting, though, and would probably have bought a few Boku as well if they had not been nominee only. I think the platforms they operate might lead to new services in future that have not even been considered yet.

[glasshalfull] 27/3/2019 17:59

Evening Aleman,

Looked in & pleased to see you researching BGO & BOKU.
Should say at this juncture that I chose to invest in BOKU at the end of 2018 having researched both.

Unsure if you’re aware of Cenkos latest forecast for BGO? I had a good look at the weekend & tweeted the comparison as there has been quite a material downgrade in the space of 6mths. Link to my tweet below which details the downgrade in this period



While growth in EUS is still substantial, Cenkos have reduced the take rate for this year to 0.7% (from 1.0%) & conversely this impacts profitability, earnings & cashflow.

So for me the jury is out on BGO. Certainly not knocking the company but simply watching progress from the sidelines at present...but wish you all the best with the investment.

Have to dash.

Kind regards,
GHF

[aleman] 27/3/2019 17:07

BOKU jumped to 106p at the close - up over 30% in 3 sessions - so market cap now £260m versus BGO's £66m.

[aleman] 27/3/2019 12:11

Chart starting to look interesting - shorter averages are maybe starting to creep up for first time in 18 months? Might start to play with the 200-day soon.

[aleman] 27/3/2019 11:20

I think BOKU look very exciting but I think BGO look to be cheaper and catching them up. Looking at the comparison tables in Edison's BOKU note tends to back this up for me. I've topped up here.



BOKU is predicted to have an 8% free cashflow yield next year which makes it look cheap - possibly very cheap when you consider the growth potential. I think BGO will be right behind it. Note current year BGO EBITDA margin is predicted at 29.4% and next year is 37.8% - both ahead of BOKU's 18.0% and 31.8%. On predicted revenue of £12m and £18m for BGO that makes EBITDA expectations for BANGO around £3.2m this year and £6.8m next year. Compare that to BOKU's £7.5m and £17.5m.

Both companies look like generating lots of cash soon. I think BGO looks significantly cheaper on Edison's margin expectations and significantly higher revenue growth rates. Once it becomes a little clearer that BGO is now into cash generation like BOKU, the market cap should be more like 50% of BOKU's instead of sitting at the current quarter.

.

[alangrifbang] 27/3/2019 08:33

Interesting write ups in all the papers on Boku results,after Bango results last week nothing was said in any paper,and yet most posters on this site reckon it is the better company,I suppose we will have to wait and see,

[alangrifbang] 26/3/2019 12:41

The difference aleman is Boku flew upwards and BANGO went south,

[aleman] 26/3/2019 10:18

There's a line in Boku's results that suggest a few years of fee compression have stopped. That might be unique to them but could be very significant if it applies to BGO as well. BGO's predicted doubling of end user spend would translate to a 100% rise in income, rather than the 80% rise predicted.

[kazoom] 25/3/2019 23:36

Ah okay amt - I had presumed they still had some form of ongoing relationship with FB.

I turns out, they regained an FB relationship through Audiens.

tbh I remain sceptical that there is money to be made selling data analytics for FB, google etc.

[alangrifbang] 25/3/2019 16:11

All posts seem very upbeat so why the drop,Boku suddenly going upwards

[aleman] 23/3/2019 12:56

H1 adjusted EBITDA -£916k. H2 adjusted EBITDA +£46k.

2018 revenue increase £2.5m. 2019 revenue increase £6.5m?

[alangrifbang] 22/3/2019 16:11

If course it is pin brain the market is down 160 most of the shares are down,now be a good boy/ girl/ it,and go and play in the traffic,

[chimers] 22/3/2019 14:40

Gosh yeah look at it soar............BACKWARDS.... RLMFAO........@YOU.

[amt] 21/3/2019 21:59

Bad luck matty. Big rise at end of day. Building for a long sustained rally.

[chimers] 20/3/2019 14:51

I see the ST pump and 6 hour dump has ended abruptly as per....

Whacha got left in the tank lads?

[muffster] 20/3/2019 08:20

Hi Simon, I'm concerned about the lack of free cash flow. It's a great story but that has not lead to free cash flow as yet and although expectations are that the company become cash flow positive, in the year, there's also a chance it won't.We know total admin costs were more than revenue. So we can also expect that EUS needs to rise and with that admin costs may too. I follow stockopedia and they rate it as a sucker stock. That has swayed my opinion.

[amt] 20/3/2019 07:58

His or Her command of the English language is second to none.

[alangrifbang] 20/3/2019 07:54

Do us all a favour amt and take him home with you ,he may turn out to be a young lady but,I suspect not,

[amt] 20/3/2019 06:54

Chimers is rather entertaining in a weird kind of way.