Always an interesting one, SuperWealthy. Maybe that's one reason for the trading patterns lately - relatively big blocks going through often early in the session but always met with willing buyers not letting the SP fall...too far. As you know, many other techs go into gradual but relentless freefall without seriously material news and/or significant revenue growth until finding a percieved 'value' bottom where at the very least it's potentially a profitable trade. Maybe that's where Pointerra is now, in the high 3 - low 4 cent range? MC isn't too exercising.
Suggests a degree of uncertainty re a CR - something seems to be holding it back, or stopping it breaking through. Will it happen, won't it? If it doesn't, current SP may represent the best opportunity to get set for whatever strategy people want to employ. We'll have better visibility in the quarterly. As you say, you can only run a company on the sniff of an oily rag for so long. My impression of the last CR was that it was just enough to get us to CFP without causing too much dilution. Are we there yet? Are we closer than we have been? How much longer will it take?
If there is another CR, will it be the same as the last one, just enough to tide us over, or something more substantial allowing greater investment in growth?
Only Ian knows the answers. If anyone hasn't done so, his CV is worth a read. He has deep experience across the many disciplines required to navigate these waters. Which isn't to say mistakes don't happen.
In one of the interviews a year or so ago he talked about the reluctance to let just anyone into the team because of what they had. They were holding their cards close to their chest. Then things with the new US sales guy Trent didn't work out. Clearly that was a setback. Ian moved quickly to terminate. Things are now back on track, and I would say making up lost ground with Randy Rhoads as COO. PrecisionHawk is clear evidence of that. I don't think the market has fully digested how important the collaboration with PH is.
Also it has taken time to get the AaaS up to speed. AaaS is a vital pillar in the business model. To have it so readily accepted by PH is a green flag for me.
I think there are a lot of eyes on Pointerra possibly, but not limited to, because of the informal links to NEA. I think some of those eyes might be American. But that's just a feeling because of the traction they are getting Stateside. Certainly, not many of them are here, or don't appear to be, as the threads are pretty much limited to the regulars. Personally I think that's a good thing. The time will come when some announcement will break the wall of uncertainty. I think Wesfamers was a clear marker of wider acceptance of Pointerra's offering in the Australian market, and wouldn't be surprised to see more of the same in due course. If it provides ROI and competitive advantage, which it does, other big players will want it too. Not just in the Australian market.
So, yes, just to be clear, I am positive on the company, but not blinkered. I think the willingness to continually extend escrow is positive. Ian knows the market views release as a negative. Suggests escrow will happen when the SP, and interest in the company, is robust enough to absorb any increased liquidity.
I'm not fazed about the possibility of a CR, big or small. This a long term hold for me. If it does come, it won't be because Pointerra is a lifestyle company with cowboy management, no prospects and no viable future. It will be to help attain the goals they have set, and timed accordingly.
IMHO.
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