Good luck with MM. There's going to be a ton of further consolidation in our space and they very well may get taken out; it wouldn't surprise me in the least. I simply didn't like where I saw the fundamentals going, so I bailed. I have more than enough crap shoots in my portfolio, especially for a guy my age.
As I said about CRTO, they didn't break the numbers for mobile out. That concerns me. If they have something to shout about you'd think they'd be shouting it out.
You're right about that. You've got your buy-in price, having closed at $1.89 yesterday after trading as low as $1.79. Be careful with that one, even under $1.90. I got out of MM on August 12, which proved a lucky move, even though I took a beating.
CRTO are working pretty hard on mobile. I have no idea how it's going to turn out, but according to their recent earnings release:
"With our complete mobile solution on all leading browsers, we showed personalized mobile ads to 69% of our client base in the second quarter 2014."
I have no idea what that meant in terms of revenue because they didn't break it out.
I believe the stock is bottoming out. I think this company is ripe for a takeover, it has great mobile technology and some great products, but it's been very badly managed.
I think it could get taken out during the next round of MA consolidation. It has a market cap of just $200 million. Its technology alone is worth $500 million imo. I'm a buyer at under $1.90 per share.
As a retargeter, Criteo's business relies on being able to show consumers ads for products they've already looked at online, which it does by tracking browsing data via cookies. The problem with this tactic? - It becomes rather more difficult to execute on mobile devices, where cookies are largely ineffective.
Mobile ads have shown phenomenal growth for YouTube and Facebook (walled gardens that can be easily switched from a desktop platform to a mobile one). But growth in mobile ad sales outside these walled gardens is somewhat lagging – up to now, they (the rest of the internet), haven’t quite found the ‘special sauce’ to be able to deliver mobile ads as well as they have done with desktop (but they will).
Criteo is Ad Tech’s current darling (growth wise) because everyone else is working on the pipeline of change, whilst Criteo is carrying on and leading the field in providing cheap desktop banner ads. This may make the company’s revenues look good over the short-term, but I can’t see them making much headway in the coming years, particularly in mobile where they have very little presence (unless its current strategy of stack-it-high-sell-it-cheap desktop retargeting allows it to build a big pot of cash to acquire a good mobile orientated competitor).
I think gdog maybe mistaking current revenues/growth that Criteo is experiencing, for the all-important ‘land grab’ without considering what’s about to come down the pipeline. And this isn’t me making an argument for ‘blue sky thinking’ or ‘if, whats and maybes’ mobile IS happening, it has already begun to happen for YouTube and Facebook and the long tail will follow.
One thing I don’t think Criteo can get away with, is to forge its current banner ad strategy into a mobile offering. The mobile banner ad is much derided by the industry (too small and irrelevant) and with an inability to track users on mobile devises – their technology becomes obsolete anyway…
I got this report back yesterday that left me beaming all day yesterday . I just think a bumper would be right way at moment!! He is a gorgeous 3yo and has the most wonderfull temperament He is as good a jumper as you would wish for. He never gets tired in his work so I think in time he will be a stayer as a lot of the Family are!! But you have a very nice individual who does nothing but get the pulses racing everytime we do work with him.
Datafeed and UK data supplied by NBTrader and Digital Look.
While London South East do their best to maintain the high quality of the information displayed on this site,
we cannot be held responsible for any loss due to incorrect information found here. All information is provided free of charge, 'as-is', and you use it at your own risk.
The contents of all 'Chat' messages should not be construed as advice and represent the opinions of the authors, not those of London South East Limited, or its affiliates.
London South East does not authorise or approve this content, and reserves the right to remove items at its discretion.