Eagle Eye Share Price (EYE)

...from last year...

Eagle eye Solutions is a SaaS technology company, providing clients with the opportunity to digitally connect with their customers through promotions, loyalty, apps, subscriptions, and gift services. How they like to put it is bringing the offline online. The stock is listed since 2014, but it really started shining when ex-Tesco Tim Mason joined in 2016. If you do not know how is he – he is the man behind the ClubCard. Why are we writing about it since it is not continuously profitable? It turned cashflow positive. The main reason for that is their Eagle Eye AIR API-based platform providing the most flexible, scalable and future-proofed promotions. In simple terms, it provides the connection between the retailer and the customer.
Organic growth is the name of the game for this one, as there is only 1 acquisition sitting in the cashflow statement for 2014. Although the company is not profitable, revenue is growing at a lucrative 30% and we suspect this will turn the bottom line for next year in positive figures. Net gearing is negative and there is certainly momentum in the stock.
The latest trading update is encrypted in the AGM statement and shows the company is on the right track. Q1 revenue is seeing a 35% growth yoy and the acceleration in growth rate from 27% in the previous quarter are there to prove this. The guidance for the FY22 is raised, although without any particular figures mentioned. If they manage to get into a positive net earnings or breakeven for the interim we would confirm our expectations for the year. We admit, the stock is expensive, but same thing could be said for a lot of its peers in the technology sector. Those types of companies are bought by people who like the growth, the solid portfolio of clients and the overall idea of the company.

Short analysis (FY21):

Cash increased during the year
Net debt is negative
CA/CL = 0.86
Cash ratio = 0.18
Interest coverage = 2.16
P/S = 6.87
BV ps = 20.7p
Operating profit of £234k, turning positive
Gross profit margin 91%

https://wealthoracle.co.uk/detailed-result-full/EYE/252

Eagle Eye’s CEO, Tim Mason and CFO, Lucy Sharman-Munday present the interim results for the period ended 31 December 2021.

Watch the video here: https://www.piworld.co.uk/company-videos/eagle-eye-solutions-eye-interim-results-presentation/

Or listen to the podcast here: https://piworld.podbean.com/e/eagle-eye-solutions-eye-interim-results-presentation/

Good update "EBITDA for the full year ending 30 June 2022 to be comfortably ahead of management expectations". Onwards and upwards.

someone purchased 65.4K today - that's a lot of confidence in this stock. ...and I am following ...expanded my holding from 240 to 480.

I am really puzzled why there is not more interest in this stock/company.