January 28, 2021 at 9:25 pm #10336odyseeRegistered Boarder
@drjaysee, the article is too shallow and does not indicate that any meaningful study in depth has been done of BCG or the industry it operates in.
Comments and analysis based on simplistic ratios provide no guide to serious potential investors.
Thanks for the link though.
I am a bit confused on the term used by them of ‘statutory earnings’.January 31, 2021 at 1:48 am #10346drjayseeRegistered Boarder
Dear @Logan /BCG Experts / Long Term Investors, Please find attached Comparative statements of BCG with its peers (I am sure that this is not appropriate to compare BCG with the mentioned companies but more or less similar AdTech/Digital/Internet/online business etc. & also pls add the appropriate missing companies on the Excel sheet for future discussions). By looking at the numbers, the main problem lies with Pledging (31.9%) and Dilution of equity (50.8Crs + 34Crs PW). Is there any possibility that the management will release its Pledging (Experts – you may please indicate the exact current pledge value of 31.9%) and minimize the dilution of shares through buyback from retailers by using the PW funds of 262Crs? Also, is there any possibility of absorbing the entire 34Cr PW shares by any VC/FII in the future after 18 months or before (may be as per the internal agreement by BCG??). Your technical and speculative views are highly appreciated please and lets try to come with some tentative conclusion before we hear any positive development news from BCG Management. Thank you all for your continued valuable inputs, time and healthy discussions at BCG-IF.
Attachments:January 31, 2021 at 11:36 am #10349LoganRegistered Boarder
@drjaysee, Vertoz Advertising also does programmatic advertising so you can add that to your list. BCG, Affle and Vertoz are all in the same industry but their businesses are different so don’t know how direct the comparisons will be.
With comparisons to other internet/digital companies in that list, we can talk about the market perception – like how they are valued, or how the sentiment is but business wise all are very different. Sometimes I mention Tanla and subex when I talk about valuation because both of their stocks were beaten down very badly – similar to BCG.
(You can compare Tanla to Route Mobile)
Regarding buyback, @odysee has written about it perfectly in post #10301. I also don’t think everyone will be ready to sell their shares at 15 or even at 20. The gap between price and value is huge and most of the investors are aware of that. BCG can reduce some free float but I don’t think they’d do even that. In the last conference call, the CEO said that he won’t consider buyback now.
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