Pelatro Share Discussion Threads

[p1nkfish] 23/4/2021 10:56

ARC technicals look poor.
Probably takes some time to show some proper mojo.

[boadicea] 23/4/2021 10:12

Having taken significant position in PTRO since the end of last year as one of three three stocks with perceived recovery potential I am delighted with current progress which has further to go (imho.)
Yesterday, a second of those three, SWG, also began to perform which only leaves ARC as the third leg of a possible hat trick. It's strong balance sheet augurs well.

[mfhmfh] 22/4/2021 09:58

still cheap IMHO - looking for 70p soon.

[toptomcat] 22/4/2021 08:46

Very pleased with my 40p entry point on Monday

[davidspringbank] 21/4/2021 16:39

GBX 53.98p Day Change +4.98|10.16%.

[rivaldo] 21/4/2021 15:37

Agreed sidam, that was the figure which jumped out at me too.

And there may be small revenues from it as soon as this year, building up next year.

I thought the presentation was good, and straightforward as to issue such as how the pandemic had affected new client opportunities and benefited current client relationships and income. The debating points about why recurring income fell last year and capitalised expenses were addressed.

Most importantly, the CEO was VERY confident about achieving forecast revenues for this and next year.

[sidam] 21/4/2021 15:12

If the possible levels of revenues from advertising in 2024 ($15m mentioned in presentation)are anywhere near reality, this stock is a must have.

[rivaldo] 21/4/2021 12:01

A reminder that there's an InvestorMeet presentation at 2.00 today:

[mfhmfh] 20/4/2021 15:27

I agree.

CEO Subash Menon's brother, Suresh Yezhuvath, subscribed for 1,000,0000 shares, i.e. £470,000 in the placing.

only 3p above this placing price at the moment.

[paleje] 20/4/2021 15:12

Still cheap at 50p only a bit higher than last August's placing price 47p which attracted serious insider investment. See what he's got to say tomorrow.

[mfhmfh] 20/4/2021 10:45

70p end of this week hopefully

[pugugly] 20/4/2021 10:36

Marker at 47/50 up 9p 22% on ST - inv Chronic comment

[estienne] 20/4/2021 10:28

This is what ST wrote, "Based on Cenkos’ current year cash profit estimate of $2.9m – the $0.2m forecast operating loss is stated after a non-cash $3.1m depreciation and amortisation charge – Pelatro’s enterprise valuation to cash profit multiple of 6.5 times is hardly excessive for a company that should be cash-flow neutral this year, reversing a $2.3m outflow in 2020. Pelatro is also lowly rated on a multiple of 3.5 times ARR to enterprise valuation – software companies operating Software-as-a-Service models are generally rated on between eight to 10 times their ARR.

As the directors convert more contracts in their $16m pipeline into ARR, and revenue starts to be earned from the mobile advertising space, I expect Pelatro’s profits to scale up rapidly and the shares to make a concerted move towards my 100p fair value target to value the equity at £37m, or 10 times 2022 forecast cash profit of $3.5m.

From a technical perspective, a chart break-out above the October 2020 high (48p) would confirm that the base formation is complete to clear the path for a rally to the June 2020 high of 73p"

[sphere25] 20/4/2021 09:37

Just the 30% pop higher with the ST effect then.

Hmmmm...

...

...

...

Oh go on then, I'm sure we'll take it! :-)

Abit of a delay but it has played out. Well done if you caught this one.

Long termers must surely be pushing for this company to get out there more and present and try and attract the investors. Surely if you're making these bullish noises, particularly relative to what appears to be a low valuation then it makes even more sense.


All imo
DYOR

[masurenguy] 20/4/2021 08:37

😊 About time this found some support - it has just drifted on the tide for the past 18 months !

[rivaldo] 20/4/2021 08:23

Apparently ST's article has a 100p price target based on 10 x forecast cash profit in 2022 of USD3.5M:

"profits to scale up rapidly and the shares to make a concerted move towards my 100p fair value target"

[rivaldo] 20/4/2021 07:22

Great spot, cheers.....here's the link (I assume it was posted last night):



"Profit from big data analytics

Simon Thompson highlights a small-cap software company that is using artificial intelligence to create a valuable recurring income stream
April 19, 2021

Annual recurring revenue increases 35 per cent year on year.
Cash collection rates improve.
Move into mobile advertising space.

Aim-traded Pelatro (PTRO:40p), a company that makes its money by providing 19 large telecoms operators with precision marketing software, has been making huge strides in transitioning from a lumpy licence fee model to one based on annual recurring revenue (ARR).

Pelatro uses 'big data' analytics (artificial intelligence, machine learning and other analytical techniques) to reveal patterns, trends, associations and behavioural traits of telecom subscribers. In turn, this insight enables telecom operators to monetise their data, boost average revenue per user and increase their share of subscriber spend. Adopting a more customer-centric approach to marketing also reduces churn rates.

etc"

[mfhmfh] 20/4/2021 05:10

Very positive by ST in IC.

[p1nkfish] 19/4/2021 19:39

Added today too. Fingers crossed.

[gersemi] 19/4/2021 18:56

Low valuation

Although the share price is largely unchanged since I covered the half-year results (‘Priced for profitable outcomes’ 13 October 2021), there is clear value on offer here.

Based on Cenkos’ current year cash profit estimate of $2.9m – the $0.2m forecast operating loss is stated after a non-cash $3.1m depreciation and amortisation charge – Pelatro’s enterprise valuation to cash profit multiple of 6.5 times is hardly excessive for a company that should be cash-flow neutral this year, reversing a $2.3m outflow in 2020. Pelatro is also lowly rated on a multiple of 3.5 times ARR to enterprise valuation – software companies operating Software-as-a-Service models are generally rated on between eight to 10 times their ARR.

As the directors convert more contracts in their $16m pipeline into ARR, and revenue starts to be earned from the mobile advertising space, I expect Pelatro’s profits to scale up rapidly and the shares to make a concerted move towards my 100p fair value target to value the equity at £37m, or 10 times 2022 forecast cash profit of $3.5m.

From a technical perspective, a chart break-out above the October 2020 high (48p) would confirm that the base formation is complete to clear the path for a rally to the June 2020 high of 73p. Buy.

[toptomcat] 19/4/2021 18:55

Big gap up to Simon Thompson's target price of 100p. Had a nibble this morning and glad I did. Should move tomorrow.

[sphere25] 19/4/2021 10:14

Still stuck despite recent bullish noises from the company as well confirming confidence in full year numbers again today. Clearly further larger clear outs of stale bulls needed here.

Perhaps the presentation on Wednesday will help?

Either that or it might be down to Simon Thompson to drum more interest as per CTO today. It is proving a tough nut to crack at the moment.

All imo
DYOR

[rivaldo] 19/4/2021 07:11

RNS - another $0.5m of contract wins. With such high revenue visibility at $6.5m already this year, it's looking good for a beating of expectations against the current forecast of $7.2m:

[masurenguy] 15/4/2021 20:02

Pelatro target mobile phone AD market with potential to 'redefine ' the company

[paleje] 12/4/2021 23:17

Thanks riv.

So the ARR is slightly better than the 5.3m on which they rated fair value at 84p/share. And that is now contracted not estimated and we still have 3/4 of the year to go. But the exciting bit is the potential new advertising opportunity which isn't reflected at all.

Seems the market needs to see it to believe it, there are reasons, but if management keep producing the share price will respond eventually.