Member Info for Riffgo

Think there looking further out to 2025... Oil price is in a dip between two highs.

Interest… that’s the crucial word here. For the first time in this whole ridiculous saga, Sycurio are under time pressure.

So the appeal goes in at the last moment (because Sycurio can't be seen to cave) and, despite what their lawyers say about it carrying no weight in the US, it clearly does affect the mood music. They would be crowing about it if it had gone their way. This is the moment when Sycurio needs to look most strong and confident and play the US v UK card. And this the moment when PCIP mustn't blink. It's that 'end of the beginning' thing...

The market seems to thinks they will go ahead with the appeal, so they can argue in the US that the case isn’t over. It’s all about trying to convince the judge that they have a case, which is why Sycurio are delaying everything as much as possible. They are hoping PCIP will spend all their reserves on the case and not on the business. In the long run, it’s unsustainable for Sycurio. In the short, it’s still going Sycurio’s way… however pyrrhic that may be. I definitely sense a buying opportunity here… when they go to appeal, but PCIP need to stick to their guns and we have to be patient.

My thought on the lack of announcement, for what it's worth, is that the UK judge will have been aware that the court case was about to start in the US and therefore was always likely to withhold any announcement here to avoid conflicting the US. So it's more likely to come when that's over. Nothing more sinister than that (hopefully).

99% of the time these motions are denied in US court. The defence is then allowed to present its reasons.

I have been watching the big numbers of shares going through as unknown trades since early January and I'm wondering why. The directors' buys appeared, but there's about 3m more shares gone through as unknown trades, with more today. It feels as if someone has their foot on the brake while they collect - but in this market, who knows? Did I miss the analyst's meeting?

I would have though management have pushed off the analysts meeting that far because they'll know the outcome of the patent case by then. By law, each side has two weeks to decide what to do (appeal or not) after the judge's findings. On that time scale we must be in the latter stages of it now... either way.

Think I'm right in saying there'll be an update on the 24th Jan.

Close to 1.3m shares bought today. Someone is buying the key 58p support level.

Just checked the UK court case number. Original applications made on the 9th Nov with continuing exchanges on the 22nd. PCIP have moved for dismissal on the grounds that the patents are too vague and were in pre-existing technology.

Legal things take time, but the good thing is the company is firing on on cylinders despite the extra hassle. It's just a great company in a growing market.

Well, we should hear this week if they've made progress in sorting out the patent infringement claim.

The chart turned positive last week. If it stays above 93p over the next few days in choppy markets, I would expect a rise. First stop 107p. Then resistance at 113p. If it breaks that we are on our way to the mooted 125p. Chances are good for a 25-30% rise from here - short to medium term. Of course, I might be wrong , but this share has performed as expected ever since I bought in at circa 32p... we shall see.

They have a strong track record and specialise is investment in tech companies for capital growth. They are in with 5%+.

They're trying to get it down to the 95p issue level, but people keep thwarting them by buying it. That's also a good sign.

It's being seen as the quantum leap by Finn Cap and it has come before the FY results... which bodes well. It also gets any suspicion of a heavily dilutive fund raising out of the way. Onwards and upwards.

Well, it's quite unusual to find a small profit-making tech company... especially one positioned to take advantage of a growing demand for its services in both commercial and now the domestic markets. We've all seen enough ridiculous valuations for non-profit making companies to know that, if the wind gets behind this one, a 60m valuation will seem like a dream. It's consolidating before the results, but I reckon the range will soon be 120-140... especially with another prestige contract win. Where one goes, others follow. I never really believe in all that 100 bagger stuff, too much hype, but I do believe in this company's product... so you never know.

I was just trawling through the accounts with a view to the net cash position of the company. This note on cash flow seems very relevant:
...the Group cash outflow was £0.95 million against the comparable 2019 figure of £1.51 million. The net cash outflow is far lower than the reported adjusted operating loss of £2.15 million reflecting the advance billing nature of the Group’s SaaS business model, which included a payment of $1.13 million for years 2 and 3 of multi-year prepayment arrangement with largest customer in US which was signed in FY20 and delivered early in this financial period.
As at the end of February 2021, cash has improved to £4.62 million and net cash less the Group debt facilities was £2.69 million.

That last line is what you would expect to be happening if they are speeding up receipts from customers. In other words, customers are paying promptly, because they see the need of the company's services. Also only 2% of debtors are over 120 days, despite COVID. All of which basically means, they aren't flattering their income, if anything they are understating it, and they're on target to hit breakeven (or very close to it) for full year. Of course things could change, but my thinking it's more likely to be for the better, which must have come across at the investors meeting. The recent share price isn't a spike, it's a readjustment to reflect the improving financial position. Just my take on it!

I feel like one of the guardians of a secret that only a few can see... although judging by today, I think the portal might be opening.