It's pretty clear why the share price dropped, as a result of much lower receipts from customers in Q4.
So, I think Q3 is more of outlier, due to the temporary rush in sales. I think the market is expecting that Q4 will continue its Q3 growth trajectory.
Those expecting short-term growth definitely have been disappointed.
However, I don't think the long term aspect has changed, UCM's product and technology still have its strength and demand.
In fact, if we adjusted for FX loss and additional capital spend (totaling $400k), its Q4 is actually not too bad with adjusted positive operating cash flow with new products and major market reopening soon.
The current situation of UCM is very similar to Buffett's purchase of Apple, where he focused on long term sales and growth of Apple, while the market is mostly focused on Quarterly sales. Any great business might have a few slower quarters but if the core business is strong and competitive, its value will continue to grow. I think UCM should do just fine.
I think short-term traders are disappointed but long-term holders have another chance to buy at discounted price.
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Last
1.9¢ |
Change
0.000(0.00%) |
Mkt cap ! $4.759M | |||
| Open | High | Low | Value | Volume |
| 0.0¢ | 0.0¢ | 0.0¢ | $0 | 0 |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 1 | 500000 | 1.4¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 1.9¢ | 46000 | 1 |
View Market Depth
| Last trade - 16.21pm 27/06/2025 (20 minute delay) ? |
| UCM (ASX) Chart |
Day chart unavailable