Hi All,
I found the, relatively small, company "Cliq Digital" and thought I would write a DD post for investing to streamline my own thoughts. The company looks solid from a financial point of view. Due to COVID the number of users has grown significantly. I'm looking for reasons not to invest in this Company / other thoughts.
Company
CLIQ Digital is an all in one streaming platform for Music, Audiobooks, Sports and Movies. It offers unlimited access to Audiobooks, Sports, Movies and Music for €14,99/ month. Hence, the core business of the Group is the online direct marketing of its streaming entertainment services to consumers globally. In 2019 CLIQ Digital realized over 90% of its sales in Europe and North America and employs about 100 staff.
Financial performance
Key figures (Euro M)
| Key figures | 2018 | 2019 | 2020E |
|---|---|---|---|
| Sales | 58 | 63 | 105 |
| EBITDA | 4 | 6 | 15 |
| EPS | 0.36 | 0.36 | 1.12 |
| Sales Growth (%) | -17.5% | 8.5% | 66% |
| EBITDA Margin (%) | 6.6% | 9.1% | 14.1% |
| Net margin (%) | 3.7% | 3.5% | 6.6% |
- Revenue 9M-2020: 76.8m
- Company pays dividend (0.28 dividend per 24-aug-20
- Debt to equity ratio: 19.6% (c. 50m equity c. 10m debt per Jun-20)
- Net debt/ EBITDA: 0.5x per Jun-20
- Current stock price: €19
Analyst
- General consensus: buy
- Valuation range analysts: €24 - €32
- Fair value according to simplywall: €35
Flags
- I couldn't find any info on the number of members/ subscribers
- Half of the reviews on Glassdoor are negative
At a first (quick) glance, this company looks interesting: 1) revenue grows, 2) margins improve, 3) cash flow positive and 4) strong balance sheet. I'm wondering whether I've missing anything. What do you think?
Submitted November 23, 2020 at 03:24AM by nasdreas https://ift.tt/396dju3
