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Is factoring in the eventual fund raise (my evidence the broker note). By the looks of things it is going to offered at 1-1.5p . not too fussed as raising is better than debt although can appreciate our shareholder value being affected.
DMTR a Long-term investment as always said. Will embrace if I am wrong on this one in 5 years, although I don't imagine many to still be invested here aha!
Explicitly mentioned in the broker note that for Deepmatter to reach its estimated revenues and other targets by 2024, it will need to fundraise around 5m this year. It was explained that feedback from its trials will need to be addressed which will require a fundraise for more R&D not because of cash position. I assume this is what the drop is all about.
Purchased this stock based off another persons research, then quite frankly you're an id*ot. Simple calculations could tell you the stock currently is valued where it should be based on p/s alone. Although, working with large companies is nevertheless a huge statement, however it is impossible to factor in these collaborations when forecasting the future share price since the contracts signed don't disclose payments or if there is any at all. (I still hold and intend to for the next 5 years)
most likely be a question about this at the meeting. Seems more likely now espscially following CG note which reads "We are initiating coverage with a SPECULATIVE BUY and 12-month price target of 3.3p; we note the group is stepping up its growth into 2022Ewith additional functionality for DGW, which will require further equity funding."
Doesn't seem to have been mentioned apart from the target price. Have access to these broker notes two main things mentioned:
1) they expect revenues surpassing 10m by 2024
2) they expect a cash raise of 5ml in h2
on the AIM and small-caps in general I personally have noticed typically that the markets price firms roughly 10x revenues, which currently is about where DM sit share price wise.
Also, there is no such thing as a bottom or top for prices just supply and demand from market participants. Its clear there is a lack of demand for the stock which imo is down to investor awareness as proven on this share chat with the same 3-5 people posting over the last 6 months.
Hopefully some fresh money comes in the future.
GLA
"Something real" ....Deepmatter have signed an agreement with a top 5 global university and will be working with a top 10 pharma company from Japan.
Basically the same as what we saw last year. If we are able to secure multi-year licensing deals with the likes of Roche, Johnson and Johnson, Eli Lilly and Bristol Mayer squibb to name the few, as well as see further adoption in ICSYNTH no one can deny the potential of this company.
As for the results a while back, they were decent I personally expected more but was by no means disappointed since as cleverly noted most deals secured wont show until next financial Calendar year results.
The classic fundraise question has appeared I see. If you have been in this game long enough you'll know dilution is a common occurrence on the AIM even in good companies. Its more likely and unlikely there will be another, only need to do a little bit of financial report analysis. However, its been stated by CEO we have enough cash for a couple more years as of now to run on. However, this doesn't include the possibility of raising for major expansion, R & D or acquisitions so not going to state blindly it couldn't happen during this period.
Anyhow, been topping up when I can and following the sector closely for hints of us. One things for certain AI in the pharma sector is looking an increasingly hot area and with the recent appointment of the Roche executive cant see that as anymore than a further validation of the work going on at DM. This can only spur on further agreements and get our name out there, would be great if he purchased a few shares himself to show this confidence.
GLA
https://www.lab-of-the-future.com/USA/agenda/
Just have a look at the attendees of this event alone. The likes of Pfizer, Merck , Moderna , AstraZeneca, Bristol-Myers Squibb, Norvatis , Abbvie. All with their heads of AI and lab IT all there.
Whilst news is currently dry, Deepmatter and Mark Warne are making their presence known.
to get a quote on a meaningful size order on HL.
Frustrating.
Mark Warne at the UK's Bioindustry Association (BIS) discussing "riding the wave of digital chemistry to improve outcome and reproducibility".
Notable sponsors of BIS include Johnson and Johnson and AstraZeneca.
Could be a good opp for DM to showcase its tech to the big boys.
A future deal with Johnson and Johnson would be earth shattering.
Same OB I love it too.
But what really gets me is the fact we have signed deals with:
GlaxoSmithKline
AstraZeneca
Novartis
Merck & Co
companies with a combined market cap of over 841 BILLION !
but yet DM struggles to surpass 25M.
Make it make sense lol
To announce one more major contract with a notable company like a Pfzier, Roche, Eli lilly ect .
Then I do believe then this will really start to turn heads since you have over half of top pharmaceutical companies (by market cap ) working wit an AIM company with a market cap less than 23m
For those looking for reassurance here's where DM is at :
- P/B ratio around 2
- The company have cash with a current ratio of 1.5
- Disruptive leading tech
- Since last full year report 2019 we have 100% renewal on all outstanding deals
- since full year report 2019 we have secured deals with Waters, 5 new major contracts for ICSYNTH, Thieme Chemistry Merck's Life Sciences business and recently a US PR
Whilst not earth-shattering, its good to see that shareholders Springer Nature have someone inside DM keeping shareholder interest aligned with management as well brining other expertise to the table.
Also , oldbaldy you forgot to mention the additional contracts with five new major customers for ICSYNTH!
Expect revenue increase for full-year results similar to that of half year.
Will come in time. you should know investing in DM this is a LTH .
However, the reason for the lack of short-term movement falls down to three reasons (IMO):
1) RNS's published don't disclose figures agreed between DM and its clients. This doesn't mean there aren't any, its just that the DM are just keeping their cards close to their chest. However, harsh reality is the AIM gets excited when numbers are published.
2) Most investors on AIM tend to follow mindlessly companies with a colourful story rather than its fundamentals and what it offers. Conveying story is down to PR and as stated previously DM lack in this area. But id like think that's because they'd rather put all their resources into their products and services rather than talking about them.
3) I do think most investors that come across this company simply don't understand what it truly offers and are only drawn to it because of buzzwords such as AI, algorithms, Big data ect. However, when reading the website probably switch of after the first page (Seen this with my friends whom I've mentioned this stock too).
https://pubs.rsc.org/en/content/articlehtml/2020/qo/d0qo00946f#cit62
May have been posted before but don't think the link has been identified since we had not signed a deal with Merck yet.
- Essentially the report compares the performances of different computer-aided chemical synthesis software's including Deepmatters ICSYNTH.
- Reading the report it shows ICSYNTH to have superior attributes as well as Chematica in comparison to other sofwares (Figure 3)
Who are Chematica ?
- A company offering a similar product to ICSYNTH whom were bought out by Merck In 2017
- So Merck have had a similar product to Deepmatters software at their disposal for over 3 years with far more R&D to throw at it to develop its software in comparison to Deepmatter.
- Yet in 2021 Merck signs a multi-licensing deal with Deepmatter to use one of its wholly owned subsidiaries...hmm wonder what that could be.
This speaks massive regarding Deepmatters tech and what it must appear to offer pharma companies
As of now Deepmatter market cap: 23M | Merck market cap: 185B