Member Info for bobocaca

oldgold22, there is no age defiition for startup but your definition of 5 years is definitely too limiting. Darktrace IPO'd after 8 years and many reach 10 years or more.

Due to lack of profitability record and other metrics, the valuation of startup is somewhat arbitrary depend on what investors think it is worth is the funding round. However, there are many startups remain loss making, or even couldn't find product-market fit, but if they are acquired, the founders can suddenly be multi-millionaires over the night. Darktrace is in worse situation than startup, that it is now in open market and can be shorted. However, I expect Darktrace, like a startup, to be acquired for above 500p. There are a few acquisition examples in the past year. I do not afraid Darktrace will go bankrupt like crypto exchanges as they have good product and tech which be of interest to bigger companies. However, the SP makes me uncomfortable too.

Why do I talk about startup? I once worked for a startup, it nearly gone bankrupt, and I quit. A few years later, I got a call from the founder telling me the company is sold and I'll be getting money for my shares. Well, I have now lost all those money in Darktrace, plus all from crypto years ago. Sigh.... but I hope history can repeat itself and a company will one day come and buy up Darktrace. Even if this happen, it will just be tiny profit or just barely breakeven, still, better than the massive loss I'm sitting now.

A startup may not be making money but may still fetch the investors a good return when it is exits (IPO'ed or acquired).
Although being a public company, Darktrace is just like a startup albeit a bigger one. At the end of the day, its true valuation will be revealed when it is acquired. Until then, I see only bear in the share price.

as title.

oldgold, instead of buying share from the market, they can issue new shares to their employees which will dilute the shares. Buying share back at near IPO price doesn't look outrageous to me. Yes, this will impact the company profit but what good is the profit to us if the SP tanks ?

Don't hope for a bounce. In fact, just don't look at the share price at all. One day, the SP will shoot to 500p and above if there is takeover bid. Before that, the SP is hopeless, it would be shortlived if it bounces.

https://simplywall.st/stocks/gb/software/lse-dark/darktrace-shares/news/is-darktrace-plc-londark-trading-at-a-49-discount

oh my god, I'm not sure if this is scaremongering or genuine stupidity.
The trading update is for 3 months ending 31st December and the account does not magically appear after coming back from holidays. You need people and time to do the account and therefore the trading updates have ALWAYS on the 2nd or 3rd weeks of the month.

Of course what I said is only a speculation. Anyway, I do not think it is just a growth stock issue, it has been hit much harder than other growth stocks in the last month. If this was a normal market reaction, then it is more likely due to selling of cybersecurity ETF triggered by SentinelOne/Crowdstrike etc.

While the big shorters may have gone but there is still force in play to suppress to SP. I don't see it growing above 330p in foreseeable future. However, I find it strange that there hasn't been RNS lately despite of the drastic fall - no statement, no big shareholders/directors sell/buy. Hm... I'd say a takeover is imminent.

https://www.theguardian.com/media/2022/dec/21/guardian-hit-by-serious-it-incident-believed-to-be-ransomware-attack

Not just 52 week low but all time low.

https://seekingalpha.com/article/4565234-darktrace-stock-available-attractive-price-now

I wish the share price could go back to at least 350p before year's end... Santa, please grant me my wish...

and I strongly suspect they planted scaremonger here in this board to encourage people to sell.

Yup, there you go, a gigantic 10M UT. I had fallen to their trap a few times - panic selling when SP collapsed then suddenly the price shot up after they're gone. This has always been the only reason of the volatility. Director's selling, analyst's report etc are only the spark they took advantage of to start a fire. The business has been solid.

Now the shortseller is gone (for now), and trades are usually less active and hence less volatile during the festive season. And also earning report is due 2nd week of January, I'd say it is quite safe to buy now.

Ya, agree with NewKOTB. Today is the last working day of the year for many, including shortsellers. I have a feeling of either a large UT or RNS after market closes.

The market mood took a sharp turn after new year's day (2022) from bullish to bearish. I hope the reverse will happen in 2023.

My theories on SP fall:

I'd expect an RNS notifying shareholding change by now if the shares were dumped by big shareholders, so probably not.
Vanessa was going to sell her shares after resigning (now that she doesn't have to declare ) but I think she only had 5M shares, couldn't have done so much damage.

Given that the sell volume seems to increase between 2-4.30pm, I believe some US companies are involved, maybe the 'hyena pack' who work in pack to avoid going about 0.5% shortelling threshold to declare. I believe this is the main reason, then of course SP fall prompts employees and others to sell to get some cash for Christmas. Then I secretly hope this was Thoma Bravo driving down the price in preparation to buying up Darktrace.

Now that all the inflation and interest rate news are out, I really hope the stock market can settle down today.

Yes,definitely look like attack, probably from the US. I don't know when but eventually they will start buying back.

If it was one person who has been selling in recent days, then I'd expect RNS to inform about shareholding change. Anyway, the US interest rate will be announced today. Either SP goes up tomorrow, or we are doomed until the next earning report in January, or takeover offer, whichever comes first.