Tagged: General Discussion
September 24, 2021 at 7:57 pm #12640
Shankar Sharma in today’s interview on ET NOW compared BCG with TTD which is a 37 billion dollars company which clearly means that he sees a very huge potential in BCG in the times to come (one should understand the hint when big investors talk).
TTD came with an IPO in 2016 at a price of 18 USD & this year in January it climbed to its all time high of about 970 USD in June 2021 it went for a stock split for 10 for 1 (10 shares for 1 shares held) right now its trading around 75 USD.September 24, 2021 at 8:11 pm #12641
Can someone explain how indian employees of freshwork became crorepathis overnight after listing on nasdaq?1+September 24, 2021 at 8:24 pm #12642
@teschsa (Brightspot) About 500 employees of Freshworks (Nasdaq-FRSH) became crorepati because they had got ESOPs from the company in fact out of 500 about 70 employees are aged below 30 years.September 24, 2021 at 8:33 pm #12643
Jay60, probably in year or two Brightcom also going to be listed in nasdaq, how do you think it would existing share holders in india?2+September 24, 2021 at 9:28 pm #12644AdiRegistered Boarder
@Logan@Jay@Brightspot, I saw the today’s video of Shankar sharma , and got a clue that 100% brightcom will try to list in Nasdaq sonner than later ( May be in next one year), otherwise why would he compared this from TTD valuation. Because as per my understanding company can get much needed cash and good valuation immediately in US exchage and then after share prices in India will exponentially change, And this listing you all have discussed many times in your previous discussions. My understanding is, Shankar sharma agreed to invest 50+ Cr after getting clarity of all the future developments from the management and todays was his clue for us. Request you all the seniors please throw some light, if I m wrong.September 24, 2021 at 9:57 pm #12645nitin_asceRegistered Boarder
Yes, true èven suresh hinted for US listing of subsidiary. Even in this quarterly concall I expect some reputed analysts to be there.
I am very happy with the bcg journey so far. But now mind has started asking me a question when will I find next bcg.5+September 24, 2021 at 10:54 pm #12646
@teschsa (Brightspot) If most of the international subsidiaries are consolidated & listed on international stock exchanges like Nasdaq it will not only give a global recognition to a company like BCG which is doing business across the globe but it will also bring in lot of money to the parent company (according to the quantum of dilutions) & it will also lead to massive re-rating of the company leading to a huge rise in the market cap of the company.
Companies like Pubmatic & Magnite are quite smaller especially in profitability (also in sales) but they are valued substantially higher in the range of 1.5 billion dollars (Pubmatic) & 3.5 billion dollars (Magnite) in fact recently few companies like Iron Source were listed for a whopping 10 billion dollars valuations, if BCG is listed on Nasdaq sometime in 2022 it may easily get a valuations of even 10 billion dollars as the company has given a huge increase in guidance for the current year in sales to Rs 4900-5000 crores & net profits to about Rs 900-1000 crores which is double of previous year apart from digital adtech business BCG is also developing products/services in AI & ML which if launched successfully will also give a major boost to sales & profitability of the company in times to come as these are future technologies & if its successful business wise then sky is the limit for BCG.
So if the management takes an early decision on Nasdaq listing without wasting anymore time it will do a whole lot of good to BCG as such bull markets should be used by the company to the fullest to garner more funds to grow the business rapidly both organically & inorganically apart from that investors will also gain immensely from such a move.September 25, 2021 at 12:22 am #12647
It’s really good to see BCG getting some recognition at least. If things improve then BCG will get the recognition (and valuation) it always deserved.
I always tried to bring awareness about the company and tried to talk about what’s important and what’s not. When the world is moving in one direction, some people in our market wanted BCG to move in the opposite direction. They cared more about legacy business like Lycos than they cared about new age Brightcom.
When I compared BCG with TTD some people mocked me. Worse than that was that some people missguided everyone saying that fundamentals are not important and that talking about the business was a waste of time. Many people actually took that advice seriously. Those misguiding posts were more popular and actually got more likes than the important posts that were written by me (where I talked about fundamentals).
“In the short run, the market is a voting machine but in the long run, it is a weighing machine.”
– Benjamin Graham
Same applies here, some genius people just because they got more likes thought that they were always right (voting machine) but in the end, all that matters is the reality (weighing machine). It may have looked like whatever I wrote was irrelevant but in the end it was was more important than those misguiding popular posts.
Thank God for showing everyone that reality is more important than popularity.
Even now I can’t stop laughing if I think about that now. Some people tried very hard to project me as a villain because they didn’t understand what I wrote. They wrote that I was discussing way too forward things when I only talked about basics. It’s really funny – They think comparing BCG with its real peers was way too forward. It’s not my problem that they chose to be so ignorant.
BCG is in the same league as TTD, Magnite, PubMatic, Criteo etc. Actually it’s better than many ad-tech companies that have higher valuations than BCG.
Only a handful of people understood the importance of comparing BCG with real peers and the majority of the people in the market just compared BCG with random IT companies.September 25, 2021 at 1:06 am #12648adminKeymasterTopic Author
Thanks @Logan – Your research and thesis have been 100% immaculate. We have been so lucky to get a mentor like you disseminating valuable information at an early stage. Some of your writings in this subject will continue to help as a reference of study for all the new investors/analysts wanting to understand the Ad-Tech space.
Some interesting facts: Brightcom Group ranks 13th in the list of highest PAT (TTM) among 208 IT-Software companies as per https://t.co/GP6M7WjTaa. Had there been an index for Ad-Tech sector, it would rule the charts.#AdTech #NewAgeCompany pic.twitter.com/JjqDKjpons
— Brightcom Investors Forum (@BrightcomInvest) September 24, 2021September 25, 2021 at 1:14 am #12649odyseeRegistered Boarder
I think that the issues of negativity and scare-mongering hyped up by the self-important petty minded negative boarders are pretty much done and dusted by now @Logan.
Pointless expending energy on irrelevant boarders who have never understood the importance and depth of your knowledge and contribution to the investing community during the last few trying years.
But the genie is truly out of the bottle now, and no amount of nonsensical naysaying comments are going to put this back in now.
The rapid and exciting developments in the last few months have been breathtaking, and the promise of BCG finally attaining international recognition and stature is not just a dream anymore.
You believed and you made us all believe too. Methodically, systematically, and with painstaking research and study.
Thank you.September 25, 2021 at 1:15 am #12650
Adding to my previous post – let’s see with one example which is more important – popularity (Lycos) or reality (Brightcom).
Popular belief all these years was that Lycos was more important to BCG than any other thing. Back in 2010, Lycos was valued at $36M. BCG paid $20M and rest was supposed to be paid later. Everyone knows what happened later so let’s skip that part and come to the present. Now as per one document shared by BCG, the company is supposed to pay $7M to Daum. Just for simplicity let’s ignore other factors (like inflation etc) and take Lycos’ value as $27M (which is 200crs).
Let’s see how much valuation Brightcom (OMS) may get. Last year OMS’ revenue was 1000crs and profit was 200crs. If we take a conservative PE ratio of 15-20 then it’ll be valued at 3000-4000crs. For 30PE it’s 6000crs. The important fact is Brightcom(OMS) is a growing company with better future so if BCG decides to sell OMS, it’ll get at least 5-10 times it’s revenue/sales or more than 30PE. Some ad-tech companies are selling for more than 10 times sales minimum. Though not a proper peer, Freshworks got a valuation of $12.5B for $170M in revenues (for half year or 6 months). Let’s assume the revenues for full year will be $400-500M. So for $400M, it’s 30 times sales and for $500M it’s 24 times sales. I have not considered revenue and profit growth for OMS and I’m only considering last year’s numbers. TTD, Magnite, PubMatic, Affle, Freshworks are valued at higher levels because of higher growth rates. If we consider growth also then even on a conservative basis OMS will get higher valuations.
So which is more important – Lycos or Brightcom? Weren’t people ignorant to give more importance to Lycos? Was I wrong in saying Brightcom was more important than Lycos?
Is 200crs valued legacy Lycos more important for a company that does 2900crs business and which has more than 450crs profits?
Even stone age people will say no to that.
(I haven’t even considered the growth aspect)
Other important thing is valuation of companies depends on market factors too. In Bull markets they’ll trade at higher sales multiples. So whatever I’ve written above is based on Bull markets. The situation will change in bear markets or in normal markets.September 25, 2021 at 1:19 am #12651odyseeRegistered BoarderSeptember 25, 2021 at 2:05 am #12652adminKeymasterTopic AuthorSeptember 25, 2021 at 5:05 pm #12659sknataniRegistered BoarderSeptember 25, 2021 at 9:00 pm #12660
data released on May 2021September 25, 2021 at 9:59 pm #12661
In stock markets it’s funny to see how people get so desperate when something that they sold goes up. They don’t even mind looking stupid as they just want to create unnecessary negativity and want to influence other people. Some people think that if you quote Carl Sagan and Richard Feynman then by default you are logical. If those renowned scientists were alive today and if they had seen the comments made by desperate genius people using their quotes then they’d have made these expressions – 😵🤦🤮.
Some weird people get so desperate and they keep repeating the same things again and again 24/7*365. They have all the time to make stupid comments but don’t have 30 seconds to browse information about some basic stuff.
The CEO doesn’t face any analyst is another good example which shows signs of desperation. BCG raised $100M from many PE and VC firms. Those firms have many analysts and they are not like those genius people who just sit at home and tweet 24/7. Those firms invested in BCG after looking at all the things. $100M is not some small amount.
Before Daum case the CEO used to give many interviews on famous business channels. All over the country people watch those channels. He answered every question asked by the anchors. When you have a legal case, your lawyers will advice you to be careful on what you say as the opposition party can use your comments against you in the court of law for their advantage. Instead of coming again on TV channels the CEO must’ve thought it’s better to come once every issue is sorted out. People will keep on asking about the legal case even if it isn’t so big. Also the stock price matters. Some TV channels try to avoid penny stock companies.
Instead of commenting like the desparate people, the CEO worked harder and made the company even stronger (even when having many issues).
“Brave men who work while others sleep, who dare while others fly”
Let me change this into BCG’s context –
“Brave men who work while others tweet, who dare while others get desperate.”September 26, 2021 at 7:39 am #12662
People with no proper studies or research start commenting on the company as they think they can say anything & getaway just because they have few thousand followers on the social media.
Investors should show them the mirror by giving them accurate reply for every question put forth by them without using any kind of abusive language.
Kush Katakia (@kushkatakia) Tweeted:
Lanco Global to Ybrant Digital
Ybrant Digital to Lycos Internet
Lycos Internet to Brightcom
Finally Mr Suresh Reddy manages to catch a big fish who commits Rs.57 cr.
So now what will be the new name? FG Digital?
The gullible investor count will go from 75k to 150k.😔 https://twitter.com/kushkatakia/status/1441769693618917377?s=20September 26, 2021 at 8:59 am #12663explorerRegistered Boarder
Those who still keep questioning the name changes of the company should try to understand the reasons as well.
1. Lanco Global to Ybrant Digital – Ybrant got listed in India by reverse merging with a listed company called Lanco Global. When acquisition/merging happens, why would any company want to have the name of the smaller company? Ybrant Digital had better brand value than Lanco Global.
2. Ybrant Digital to Lycos Internet – Ybrant Digital acquired Lycos. Lycos, even today, is a popular name in the US. To give an analogy, what Yahoo used to be in the 00s Lycos used to be in the 90s. Ybrant wanted to capitalize on the brand value of Lycos, which is one of the many reasons for the acquisition. To know how popular Lycos was, go through its wiki page.
3. Lycos Internet to Brightcom Group- Because of the settlement dispute with Daum, Lycos lost the trademark and the company was forced to change the name. Even when the dispute was in court, Daum objected to the usage of the Lycos trademark(see point 12 in the attachment).September 26, 2021 at 11:46 am #12665explorerRegistered Boarder
Just a thought. I know this forum has been doing a wonderful job by spreading the right information to the people thanks to the administrator and the contributors.
I introduced Brightcomgroup to a couple of friends. As newcomers they had few questions and I directed them to this forum as I thought it would be a better idea to learn from the intelligent community than me. Though this forum is rich in content, they seem to be having trouble searching for information. Some of the valuable information is lost/not easy to find in the threads. So I was wondering if we could create an index for frequently asked questions. That way we can point all the newcomers to the document. This will also avoid repetitive questions on the Telegram group.September 26, 2021 at 4:37 pm #12666alphaneoRegistered Boarder
One of the operators active on MMB “slipped”. He said
we will take care of this
Attaching a screenshot of the same.
That clearly shows that operators are active and spreading negativity.
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