STOCKS TELEGRAPH

Tag: advertising

  • PubMatic, Inc. (PUBM) Stock Rising as Collaboration with IRIS.TV Continues to Develop

    PubMatic, Inc. (PUBM) Stock Rising as Collaboration with IRIS.TV Continues to Develop

    PubMatic, Inc. (PUBM) stock prices were up by 4.02% as of the market closing on July 8th, 2021, bringing the price per share up to USD$34.91 at the end of the trading day. After-hours trading saw the stuck surge by 10.25%, bringing it up to USD$38.49.

    Third Party Cookies

    The company’s equity value surged in June after Google made an announcement in regard to third-party cookies, which are online identity trackers used in targeted advertising. Google announced it was getting rid of cookies and ad-tech stock across the board suffered. June 24th 2021, however, saw Google report that it would keep cookies through to 2023. This report grants ad-tech companies like PUBM more time to find an alternative to cookies.

    Circumventing Disaster

    While cookies are more important for demand-side platforms, such as brands or ad agencies, PUBM partners with content publishers as a sell-side ad-tech company. The third-party cookie situation is reported as a risk in the company’s filings with the Securities and Exchange Commission.

    Ahead of the Curve

    Nevertheless, the company pointed out that the majority of its revenue can already be generated with alternatives to third-party cookies in its more recent quarterly conference call, going as far as to suggest the alternatives may even be better than third party cookies. While cookies are anonymous identifies, the company is keen to use alternative identifiers that provide greater addressability, facilitating an environment to drive better utilization of its infrastructure.

    Partnership with IRIS.TV

    June 29th 2021, announced its global partnership with IRIS.TV, aimed to facilitate buyers’ accessibility to contextually targeted connected TV and video inventory in efficient, biddable environments. This move provides media buyers with access to leading video data targeting tools enabled by IRIS.TV, which will assist targeted advertising across PUBM’s brand-safe cross-screen programmatic inventory.

    Scope of Collaboration

    Digital video and CTV ad spending has steadily increased, establishing the necessity of brand safety and verification tools to protect brand equity and combat ad fraud. Brands are able to better plan, activate, and measure CTV and video advertising campaigns with data-driven, video-level targeting, this ensuring brand safety is not compromised. Furthermore, post-campaign verification ensures maximum possible returns on investment, while providing insights that help prevent ad fraud.

    Future Outlook for PUBM

    Already poised to circumvent the fallout from the retiring of third party cookies by Google, PUBM is keen to continue extrapolating its trajectory of growth with its expansive partnership with IRIS.TV. Investors are hopeful that the combined resources from the partnership will result in promising returns on shareholders’ investments over the long term.

  • Alfi, Inc. (ALF) Stock Continues to Skyrocket as Latest Target of Meme Stock Phenomenon

    Alfi, Inc. (ALF) stock prices were up by a massive 50.11% shortly after market trading commenced on June 25th, 2021, bringing the price per share up to USD$19.29 early on in the trading day.

    Share Repurchase Program

    June 23rd, 2021 saw the SaaS platform company announce that its Board of Directors had given the green light for the company to go ahead with a share repurchase program, which would see the repurchasing of up to USD$2 million of its common stock. The company cited the exercising of outstanding warrants, associated with its recent IPO, having benefited its balance sheet as a major factor in the decision to implement the repurchasing program.

    Recent Skyrocketing

    While potentially favorable for investors, these developments do not, however, explain the recent activity seen by ALF’s stock prices. June 22nd, 2021 saw the shares close while up 108.8%. Rather, ALF seems to be the latest target for the meme stock phenomenon that has dominated the stock markets in recent weeks. The company’s market cap has skyrocketed to USD$201 million, up from the USD$15.5 million valuation from earlier in May of 2021. June 22nd, 2021 saw the stock touch a high of USD$16.45 million, after having been traded at a monumental volume of 211 million shares. On that day, ALF was the third most actively traded stock on the U.S exchanges.

    Agreement with All-Niter

    June 15th, 2021 had seen another such massive surge in share price, of 104.4%, but this was in the wake of the announcement of ALF’s agreement with All-Niter. As per the agreement, the partner would be responsible for the shipment and installment of the first 10,000 digital Alfi tablets to be distributed on a global scale to drivers for Uber and Lyft.

    Meme Stock Phenomenon

    Driven by users of the popular social media platform, Reddit, investors coordinate to invest heavily in companies that exhibit a high short interest. As the price is inflated, the Reddit-driven investors cash out on their investments, while hedge funds and other corporate investors scramble to mitigate their losses as a result of the short squeezes. With a trend of picking underdog companies, sometimes on the brink of collapse, these readers confound more seasoned investors with the absence of a valid reason to invest in the companies they do. Lacking major recent developments or changes in fundamentals to justify the skyrocketing prices, this phenomenon has made for a very volatile market as of late.

    Future Outlook for ALF

    Armed with the influx of capital from the skyrocketing of equity value, ALF is poised to capitalize on the opportunities afforded to it. Current and potential investors are hopeful that management will continue to leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.

  • Creative Realities, Inc. (CREX) Stock Shoots Up as Latest Target of Meme Stock Phenomenon Taking Over Stock Markets

    Creative Realities, Inc. (CREX) Stock Shoots Up as Latest Target of Meme Stock Phenomenon Taking Over Stock Markets

    Creative Realities, Inc. (CREX) stock prices shot up by a significant 15.28% as of the market closing on June 16th2021, bringing the price per share up to USD$2.49 at the end of the trading day. Subsequent premarket fluctuations have seen the stock marginally dip by 0.80%, bringing it down to USD$2.47.

    Meme Stock Phenomenon

    A plethora of stocks have recently been the targets for a coordinated pump and dump by the Reddit-driven retail investors in what has come to be known as the meme stock phenomenon. In the absence of recent news or any fundamental developments, companies sometimes on the brisk of collapse find themselves renewed by the sweeping meme stock craze. CREX seems to be the latest target of the meme stock madness, with the sudden and sharp overnight increase in equity value coming despite a stark lack of news or fundamental developments.

    Gross Profits

    Gross profit for the quarter ended March 31st, 2021 was reported at USD$2.2 million, representing a 39% increase from the gross profit reported for the same quarter of the prior year. Almost half of the USD$0.6 million difference is largely attributable to a period-over-period increase in revenue, with the other half being driven by higher gross profit generated from the sale of Thermal Mirror and Safe Space products.

    Net Income Reports

    Net income for the quarter ended March 31st, 2021 was reported at USD$1.3 million, up from the USD$13.2 million net loss reported for the same quarter of the prior year. This rebounding is largely attributable to a USD$0.3 million increase in the fair value of debt instruments, as well as a USD$1.5 million increase associated with gains on settlement of obligations. At the forefront of these settlements is the forgiveness of the company’s PPP loan for the quarter.

    Registered Direct Offering

    February 18th, 2021 saw the company enter into a securities purchase agreement with institutional investors. As per the agreement, CREX would sell 800,000 shares of its common stock in a registered direct offering, with a price per share of USD$2.50. The net proceeds generated from the offering came out to USD$1.8 million after the deduction of expenses related to the offering.

    Future Outlook for CREX

    Armed with the fortuitous surge in value of their equity, CREX is poised to capitalize on the opportunities presented to it. The company is keen to continue its trajectory of success and usher in more organic growth over the long term. Current and potential investors are hopeful that the management will leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.