thanks for posting.. from what ive read the claims against Nuix are two fold. the first is the prospectus acv forecast. when a business forecasts it looks at historical figures to estimate the next financial year based on previous year results. As long as they they can show ACV in the prospectus was a true indication of expected results (prior to pandemic) then there really isnt much of a case there.
the second about disclosure is more of an issue in my view. take into consideration the ex cfo & brother debarcle. that could be the straw that breaks the camels back. indicating to the market that it should hit guidance in feb and march could be deemed misleading. again with covid and the state of world economics (shut downs) etc. if they can show that they didnt reach guidance due to loss of business (due to state of us and aus ecomonmy) then i guess there is a case to argue there.
from my perspective looking back at the announcements they did mention that theyre revenues are bigger in the 2nd half of the year. that could work in favour or against. there is no doubt that there was some inconsistency there considering the issues with ex cfo. disclosure could be the downfall. fingers crossed we will wait and see.
NXL Price at posting:
$1.72 Sentiment: Buy Disclosure: Held
(20min delay)
