The latest Investing Matters Podcast episode featuring Jeremy Skillington, CEO of Poolbeg Pharma has just been released. Listen here.
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Sounds like a very positive brokers note. I think the future guidance will be crucial and the H1 results at the end of the month will be a huge indication of how the stock will perform in the near future.
As house broker, Shore Cap never publishes a price target as such, but this is the closest thing to it in Robin Speakman's piece:
Valuation thoughts: We explore BATM’s investment case and believe that strong underlying
progress is being delivered across the development of its core span of technologies. These are
visibly moving towards potential market inflection points, thus presenting a profitable high-growth
opportunity to investors. Asset allocation, with business strategy, is firmly focused on growth
investment. We expect positive news flow to continue. With commercialisation, positive operating
leverage to reported results should be expected in due course – leading to an increasingly
attractive fundamental valuation. House Stock.
I'll try and share the Shore piece. In the meantime, 'fse' on the other board, provided the first couple of pages yesterday, in addition to this today:
July 27, 2023
Mansfield, MA, July 27, 2023- Telco Systems, the leading provider of vendor-neutral hybrid edge compute solutions, is thrilled to announce its inclusion in Gartner’s recent Hype Cycle for Edge Computing within the Edge Management & Orchestration category.
Gartner’s Hype Cycle reports are recognized as the leading authority for the IT industry, providing valuable insights for CIOs and CTOs in their technology selection decision making processes. In this latest report, Telco Systems has been recognized for its contributions to the Edge Management and Orchestration domain, where the company offers innovative edge infrastructure software and application management solutions for remote and distributed deployments.
Edge Management and Orchestration emerges as a critical enabler in the rapidly evolving landscape of edge computing, addressing a fundamental challenge faced by businesses seeking to harness the potential of this transformative technology.
Telco Systems’ Edgility is a unified platform for edge computing that simplifies the planning, deployment, operation, and maintenance of network functions, business apps, and computing devices on the edge at scale. With Edgility, businesses can manage their entire edge deployment through a unified interface. Provisioning, monitoring, and maintaining thousands of devices becomes effortless, saving you time, resources, and costs.
This empowers businesses to focus on applications and data processing at the edge while Edgility takes care of the underlying infrastructure and management complexities. Combined with AI acceleration capabilities, Edgility provides cutting edge solutions for Service Providers, Retail & Manufacturing organizations, as well as Smart-Everything and IOT focused enterprises.
“We are honored to be recognized in Gartner’s Hype Cycle for Edge Computing in the Edge Management and Orchestration category, and we are particularly proud of our Edgility platform,” said Ariel Efrati, CEO at Telco Systems. “Edgility has emerged as a pivotal force, simplifying edge computing operations and ensuring effortless deployment scalability. Rising high above the legacy industry standards, Edgility offers businesses a seamless and unified experience in managing their edge infrastructure, empowering them to stay at the forefront of innovation, optimize costs and future-proof their investments.”
As digital transformation drives businesses to design their digital edge with IoT devices and edge computing solutions, the need for scalable, secure, and flexible Edge Management & Orchestration solutions becomes paramount. Telco Systems’ Edgility rises to this challenge, providing a unified platform that supports a broad range of tools and technologies, catering to the unique needs of different industries and use cases.
Shore capital have made a very upbeat report on the company Don’t have all the details but it’s apparently positive. They cite good progress to commercialize IP plus what we know already a strong bank balance to complete their objectives
Nutmeg, not sure you should be investing in an established mature main market company. You seem to want a company to announce everything. Next thing you will want to know is did they open up a cupboard today? If you do your research it will show they have won awards etc and are getting on with the work. As they have to announce before end of August, they are in their closed period now anyway Market expects them to grow and we will find out soon enough. There is guidance in the market on what they are going to achieve. If they expect to fall short or exceed it then they will have to disclose it to the market. Unless we get such a statement, I expect to hear that they have hit their targets for H1 at the time of the results. But you go ahead and sell (if you actually have anything to sell except your doom and gloom!!). I will hold on
"head start is running out" -- The 18-month lead in Edge was announced at last months CMD, so your right they now have a 17-month lead.
The head start is running out, and nothing but silence from the company, as stated before waste of time and money to invest in BATM … strong sell
In my eyes, it is in BATM's best interest to sell off some of their non-core business divisions. This would give them fresh capital to re-invest into Edgility and also mean they have less distractions and can put all their efforts into Edge computing, as TradeWizard said. Although having a diversified set of income streams can be beneficial and is often the safest option, if a company is going to explode they need to put all their eggs in one basket. BATM have this opportunity.
Great research Resistance and interesting to say the least. I keep saying that BATM needs to capitalize whilst they can but your point has highlighted a particular concern for me in relation to the private equity backing and their large capital injections given to these competitors. However, I still feel that BATM has the advantage here due to their debt free scenario allowing them to make sound financial decisions with ease. In addition, the sell off of one of their major business divisions (hopefully not cyber) will allow them to particularly focus on edge computing. These factors along with BATM's current share price reek of a bargain. If I had free capital I would definitely consider putting that straight into BATM.
I done a bit of background research into the field of edge computing, and competitors for Edgility. Looking to see the contracts they have won and their market cap. I must say information is not easy to find -- most operate in specific vertical markets, farming, retail etc etc. Some operate through third party vendors some direct. There are two direct competitors that operate out of Israel and of course plenty in the US. 50% of the companies are backed by private equity. What is very obvious for all of them is the size of the capital injections they have received to get to a 'point of inflection.' Some 10 times more that BATM's investment of $40m in developing Edge. And they are in the same point, ready for full commercialisation. BATM seems a massive bargain... if they can commercialise.
Resistance I'm not sure about rivals landing big deals but i do agree with your statement about poor marketing structure. Would love to see BATM really take advantage of their lead and start pumping some deals out with big numbers. Once they have sold off non-critical divisions of their business, my guess is that they will really start to focus on this. Would be a real shame if BATM blew their lead and let competitors back into the game.
What has held Edgility back is the lack of a top flight sales and marketing structure. Despite the stated 18-month market lead they have sales have been crumbs from the table so far. It would be good to know what they have in the sales pipeline. Everyone is talking about Edge networking I wonder if the competitors (with less developed offerings) are securing major deals or is the whole area (Edge networks) in its infancy from a commercial viewpoint? I will try and do some desk research to find out but wonder if anyone knows of rivals landing big deals…?
Agreed TradeWizard, Edgility is definitely their greatest assets. If I was in management I would bin off the non-core divisions and put all my effort into Edgility. If they can make a success out of it it'll be 10x the revenue of the non-core businesses combined
What I mentioned regarding Govt Cyber contracts was discussed by the company quite some time ago as part of their disposals. Timeframe back then was in 2 or 3 years so could be anytime. They also do not want to maintain the medical distributions business. Both divisions are profitable. Based on what we understand the revenue from these 2 sources to be then Cyber would be 50M + and Distribution 30M + thats extremely conservative.
Interesting take. The Government Cyber (encryption) division although profitable and would gain a good price, I didn't think was 'on the market.' Surely Government would probably have to approve the potential buyer too?
BATM plan to sell the cyber division the large Government side of that and retain parts that are associated with commercial and bundled suites. They also plan to sell the distribution side in the medical division.
Conservative valuations of these two arms plus what the company has in cash is probably worth more than the entire company current valuation. BATM SP is valued from sales not value of its IP.
Correction medical waste: Celitron not Celare
Yes my thoughts are medical waste (Celare) or the medical distribution units. Both highlighted at the CMD as divisions that will receive 'no further investment.' A clear indicator. Only issue is that the distribution units have been the generator of the lions share of profits over recent years -- and a plug to fill.
Stock sensei, regarding the divisions it's clear that edgility and network solutions is now BATM's flag ship division moving forward. I doubt there is any danger of their cyber/network solution division being sold off. My biggest guess would be their bio medical/waste treatment division, as to the naked eye they haven't made a killing since covid. I think putting all their efforts/capital into network solutions will enable BATM to really get a grip of the market.
BATM have made it clear over the last few months that they are looking to dispose some of their divisions. Interested to hear which division everyone thinks BATM will sell off?
Will it be a market mover?
My thoughts exactly...Echoridge/ADVFN: '....Early signs I concede, but BVC shareholders should try and keep one eye on the Israeli line. For more than a week now, the price over there has been grinding higher and trading above the UK price pretty consistently - admittedly on light volume - on much tighter spreads than normal and has begun to lose its knee-jerk twitchiness towards every little down move in the UK line as it grinds higher (last trade: 27p equivalent). I think that has also caught the attention of UK MMs as the bid on the screen over here seems to have perked up a bit. Perhaps the bottom-line is that, as I've written before, the big volume of the past month (other than this week of course) has taken out a lot of loose institutional shares (dominated by a one-off fund closure) in both jurisdictions and if there is another institutional buyer or 2 around (last one bought around 5.5m), which I am also on record that I believe there is, then they are likely becoming aware that they will have to work harder to build a position from retail sellers and at (hopefully) higher prices....'
Excited for the AGM tomorrow. Will be good to have a look over the Company's audited annual accounts for the financial year ended 31 December 2022.
Resistance i've been saying this for weeks, nutmeg is a complete flip flopper. Does make me laugh tho, his tenacity to bash the stock when he 'doesn't have any holdings' is laughable.
Bluerill. I'm going to interpret Nutmegs post for you. After selling his initial holding a few months back at just above breakeven. He then took out a small, low level, short on BATM soon afterwards. He posts suddenly turned negative, hoping for and spreading bad vibes. He probably is worried now that he might lose far more than he originally gained.