Kape Technologies Share Discussion Threads

[mrnumpty] 14/5/2019 15:58

Amendment to my article of a few minutes ago . Small Company Share Watch acquired 10,000 shares at 93.5p for its Share Portfolio 3 on 8/4/2018 . Although I think this is only a shadow portfolio ( without real money being used for transactions ) it is nonetheless a distillation if SCSW’s best ideas , so I think the clear inference is that the editor rates Kape as a “ buy “ .

[opodio] 10/5/2019 16:08

wants to kiss 100p

[micha14] 09/5/2019 16:36

thanks for the report Rivaldo

[dround87] 08/5/2019 09:06

Looking like a relatively safe stock this week! Maybe no further pullback is a win in this scenario.

[rivaldo] 07/5/2019 13:36

Positive stuff from ST:



"Profiting from cyber crime

Kape Technologies (KAPE:91p), a provider of cyber security software and a constituent of my 2017 Bargain Shares portfolio when the shares were priced at 47.9p, has issued a bullish trading update at today’s annual meeting and one that vindicates the bullish investment case I outlined when I covered the 2018 annual results (‘Profiting from cyber security', 20 March 2019).

Kape continues to pull in new subscribers, driven by the acquisition in March 2017 of CyberGhost, a leading cyber security SaaS (software as a service) provider of secure virtual private networks (VPNs), which enable users to securely pass data over public networks. As digital privacy awareness has become mainstream due to the escalation of cyber crime targeting consumers’ data, then demand for encrypted data has soared, so much so that by the end of last year CyberGhost’s customer base had almost trebled to more than 400,000 since acquisition. The growth is showing no signs of slowing either. That’s hardly surprising given that the global cyber security market is now worth $153bn (£117bn) and is growing at 12 to 15 per cent per year.

In fact, Kape reported today that both last autumn’s acquisition, Berlin-based Zenmate – a digital privacy company that is also focused on encrypting and securing internet connections and protecting individuals' privacy and digital data through VPNs – and CyberGhost have grown their respective subscriber bases by 65 per cent year on year in the first quarter of 2019, so propelling Kape’s SaaS subscriber base by 14 per cent to 945,000.

After factoring in organic growth and the contribution from last summer’s acquisition of Intego, a Mac and iOS cyber security and malware protection SaaS business, Kape is on track to deliver a near-50 per cent hike in 2019 annual revenues to $77.3m as house broker Shore Capital predicts. On this basis, expect a 43 per cent rise in full-year pre-tax profit to $12.6m to lift underlying EPS from 5¢ to 6.8¢ (5.2p). Moreover, the company is cashed up to make further earnings-accretive acquisitions, having ended 2018 with net funds of $40.4m, a sum worth 21.5p a share. This means that Kape’s shares are rated on a cash-adjusted forward PE ratio of 13, hardly punchy for a business operating in a high-growth market, and one that is benefiting from increasing market penetration as consumers adopt the technology to protect themselves against cyber crime. Buy."

[dround87] 07/5/2019 12:32

Nice one. Mind you he tipped it at 120 last year! It's looking OK to be honest. I half expecting a tumble off the rapid rise last week. Hopefully we'll be rid of the traders soon and investors will start taking it seriously again. Should be a decent run up to interims and fingers crossed some profit.

[stentorian] 07/5/2019 12:09

ST reiterates buy recommendation in IC today.

[podgyted] 07/5/2019 12:08

Tipped by Simon T in Investors Chronicle today.

[podgyted] 07/5/2019 10:03

N+1 Singer

"Kape has issued a brief but positive AGM statement indicating a strong start to the financial year with trading in line with expectations. Q1 highlights include strong growth in subscriber numbers, 65% growth in mobile VPN subscribers and visibility of $33.5m of future revenue. We continue to believe the investment case for Kape is compelling given underlying market trends, a growing portfolio of solutions, a strengthening brand and powerful user acquisition capabilities. We expect these to drive premium growth and a considerable re-rating as significant levels of investment
convert into strong returns."

[dround87] 07/5/2019 08:16

Very confident. Not surprised the mark ups been killed off quickly. Looking to hold 90p today and hopefully we can get into some decent recovery off the back of the tipsters and press. We'll be laughing at these prices next year!

[podgyted] 07/5/2019 07:47

Gives confirmation that organic growth is very rapid.

Added 115,000 subscribers since the year-end.

Be very surprised if this doesn't cause a rerate.

[onjohn] 07/5/2019 07:28

yes expecting 110p in a few days

[qs99] 07/5/2019 07:27

Should IMO help it continue to trend back higher...DYOR

[rivaldo] 07/5/2019 07:25

Encouraging AGM statement, with good revenue visibility going forward:

"As we close the first quarter of 2019, we have experienced substantial growth across our VPN subscriber base, with both Zenmate and CyberGhost generating over 65% growth in mobile subscribers"

"Kape continues to trade in line with management expectations and remains committed to delivering strong levels of organic growth alongside executing on strategic acquisitions."

[qs99] 07/5/2019 07:23

Decent update IMO

[onjohn] 07/5/2019 07:14

Kape


significant progress across the business, with customer subscriber number growth exceeding management expectations.

[dround87] 03/5/2019 16:29

Well. Can't blame people for banking their profits over the past couple of days.

[waterloo01] 03/5/2019 16:27

Getting good user reviews though!

[qs99] 03/5/2019 16:21

Thought we may have seen more buyers this avo ahead of the close, was not to be....GLA

[babbler] 03/5/2019 14:17

cheers. Explains why 90 taking its time to break.

[dround87] 03/5/2019 13:59

Ha! Million dollar question that one! It peaked at 135 after being tipped extensively but was trading more commonly around 120 It fell steeply 30pc to around 90 in October like just about everything else at that time. from there the results in were not well received leading to recent lows. There is plenty of recent commentary as to why the results were poorly received below.

[babbler] 03/5/2019 13:31

why did it drop from there?

[lucicavi] 03/5/2019 13:21

52 week high 135.5p on 1.8.18


50pc up from here