Latest Content

Trans-Siberian Gold

Interim results deliver substantial cost savings

Trans-Siberian Gold has reported an impressive set of interim results, driven by substantially lower All-in Sustaining Costs (AISC). These reduced 38% to US$850/oz from US$1,370/oz a year ago. As a consequence, EBITDA was up 62% YoY to US$14.4m. And the company has doubled its interim dividend to US$2m (US$0.023/share).

 View

  • 19 Sep 19
  • -
  • -

7DIG KAPE ZOO AMO EYE MIRA

TV’s record what we watch, Comcast announces free streaming box, Huawei forecasts 5G revenue uplift

TVs have joined the ranks of websites, apps and credit cards in the lucrative business of harvesting and sharing user information. Whilst TV records may not contain sensitive search queries or financial data, they are able to store data on user interests, personality, joys and embarrassments, as tens of millions of users have given TV brands permission unknowingly. Many TV makers say tracking what users watch helps provide personalized recommendations. However, there is much belief that TV tracking is mostly about filling in a missing chunk of data which is only useful for advertisers and media companies.

 View

  • 19 Sep 19
  • -
  • -

Zoo Digital Group

AGM statement: Positive; new partnership in bloom

Three things stand out in Zoo’s AGM statement, which on net, we take as net positive: (1) a major new defacto streaming partner; (2) improved mix impact on EBITDA; but (3) no new studio contracts signed. The shares are down 22% YTD but rallied since May’s low of c.44p. With the balance of risk shifting and the shares trading on a modest 2.3x EV/sales for a fast-growing, profitable business, we believe anticipate a positive reaction from the market. We reiterate our Buy rating on Zoo with a target price of 140p.

 View

  • 18 Sep 19
  • -
  • -

EVRH ESYS BGO BOKU EQLS IMMO SMRT TECH VRE

Facebook working on AR glasses, TransferWise revenue +53% YoY, WeWork debt price tumbles

Facebook has been working to develop augmented reality glasses out of its Facebook Reality Labs in Redmond, Washington, for the past couple of years, but struggles with the development of the project have led the company to seek help. Now, Facebook is hoping a partnership with RayBan parent company Luxottica will get them completed and ready for consumers between 2023 and 2025, according to people familiar. Needless to say, we highlight a potentially substantial threat to Snap Inc, and a potentially huge opportunity for developers within the Facebook ecosystem.

 View

  • 18 Sep 19
  • -
  • -

Kape Technologies

H1’19: Inline; a period of consolidation

Kape reported a bland if not confident update this morning, with figures broadly as per its trading statement on 30 July. The group has undergone a period of strategic consolidation in our view. While user count has clearly stagnated HoH at c.1.1m, retention improving to 82% has improved visibility on future revenue streams. Extrapolating this trend implies a 27% boost to the company’s future expectations to US$38m from recurring existing subscriptions. The group’s cash position was reported at US$36.4m. The shares have fallen 19% YTD and trade on 1.2x FY19E EV/sales. We reiterate our Buy rating on Kape as a strong proposition of balance sheet strength and robust organic growth, with the risks to H2 performance increasingly looking priced, in our view.

 View

  • 17 Sep 19
  • -
  • -

Rosenblatt Group

Acquisition of Convex Capital

Rosenblatt has announced the acquisition of Convex Capital Limited, a specialist corporate finance boutique, for total consideration of £22m. In line with the Group’s acquisition approach, most of the consideration (c.60%) is to be paid in shares, and we highlight these are to be issued at a premium to the current share price (first tranche at 120p). The high margin (>50% EBITDA) profile of Convex should prove immediately earnings enhancing, and the opportunity for cross-selling and diversified earnings supports the investment thesis on the shares. We make no changes to numbers this morning. Re-iterate Buy.

 View

  • 16 Sep 19
  • -
  • -
 

Arden Partners Research and Daily Commentaries

Research Tree offers Arden Partners research, providing ongoing coverage of 204 shares. We offer 968 reports from Arden Partners on Research Tree.

  • Research reports provided by Arden Partners

  • Companies covered by Arden Partners

  • Sectors covered by Arden Partners


Related Content

View the latest research on other companies in the sector. 

CDM FDEV KWS SUMO TM17 ARB BIDS GFIN MMX TECH TEK

In-game spend laws mooted; Amazon hardware event 25 Sept, Crypto in Cuba

In-game spending should be regulated by gambling laws and so-called loot boxes banned entirely for children, MPs say. The industry's UK trade body responded it would "review these recommendations with utmost seriousness". Free video games often encourage players to buy virtual loot boxes, which contain an unspecified number of items to improve further game-play. This could have an impact on mobile game economics.

 View

  • 13 Sep 19
  • -
  • -

CDM FDEV KAPE KWS SUMO TM17 AVST BIDS CNS DFX ECSC FLX GFIN IGP NCC OSI SOPH

Cloudflare prices above range; Virtual wall maker new unicorn; High speed 5G gaming

Cloudflare, a California-based digital content delivery and Internet security company, raised its IPO price range this morning from a prior $10 to $12 interval to $12 to $14 per share. At its new prices, Cloudflare would be valued between $3.5 billion and $4.1 billion. Cloudflare's maximum IPO fund raise is now $563.5 million. Investors’ appetite for cloud offerings appears to remain robust. Ex- Oculus founder, Palmer Luckey’s new business, Anduril Industries, is building a virtual wall on the southern border of the US. His new venture is being valued at more than $1 billion in a new fundraising round, according to sources. Anduril describes itself as a company that "Invents and builds technology to secure America and its interests.". Virtual border controls feel like a natural evolution of physical barriers for a digital era. The Tokyo Game Show, Japan’s video gaming mega-conference, opened on Thursday with enthusiasts testing how ultra-high-speed 5G mobile data networks will impact the gaming experience ahead of the technology's commercial rollout in Japan in 2020. Game makers, related network developers, and esports promoters cite expect to benefit from nextgeneration wireless networks that are expected to allow players of increasingly popular online games to utilize faster downloads and smoother connections. 5G’s influence is only beginning to rise as coverage is rolled out.

 View

  • 12 Sep 19
  • -
  • -

JD COM INC-ADR APPLE

Apple launches cheaper iPhones, McDonalds plans automated drive-thru, JD.com taps PE veteran

Two years after Apple broke new high-end ground with its first $1,000 iPhone, Apple reduced the price of its least expensive current-year iPhone. The online services (Apple TV+ and Apple Arcade) Apple launched on Tuesday were also lower in price than expected and give Apple a way to entice new customers with content that's more expensive or impossible to get elsewhere. McDonald's announced it has agreed to acquire Apprente, a Silicon Valley company founded in 2017, which uses AI to understand drive-thru orders, which could cut down on service times. McDonald’s said the technology also could be used someday in its self-order kiosks and mobile app China's second-largest e-commerce firm JD.com has hired Jason Hu, a former managing director at Chinese private equity firm CDH Investments, as head of strategic investment to oversee deals both at home and overseas, three sources said.

 View

  • 11 Sep 19
  • -
  • -

7DIG ZOO AMO ARB MMX MIRA TECH

Roku to enter UK, Details on China’s digital coin, Apple & Chinese labour law

Streaming company Roku, whose software runs one in three smart TVs in the United States, is turning to the British market as competition with Silicon Valley giant Amazon goes international. Chinese manufacturer Hisense will market televisions with Roku TV in the United Kingdom from the fourth quarter, with other European markets to follow, Roku's founder and chief executive Anthony Wood told Reuters in an interview.

 View

  • 09 Sep 19
  • -
  • -

KAPE BGO BOKU EYE EQLS IMO TECH WDI

Wirecard partners with SoftBank’s Brightstar, Viral Chinese face app sparks privacy concerns

Wirecard has signed a memorandum of understanding with SoftBank's Brightstar and anticipates "Significant transaction volume" out of the deal, the German fintech announced on Monday. Under the agreement, digital financial services via a Brightstar platform are expected to be handled by Wirecard as the preferred payment service provider, Wirecard said. In our view, Wirecard’s MoU with Brightstar demonstrates SoftBank’s plan to promote interaction between its expansive portfolio network is beginning in earnest. We believe the resources of the combined US$100bn worth of investments is formidable, and if SoftBank can drive cooperation, there is scope of substantial value creation – which may help to justify some of the stand-out premiums implied at its investment rounds. ZAO, a new Chinese app that lets users swap their faces with celebrities, sports stars or anyone else in a video clip - racked up millions of downloads on the weekend but swiftly drew fire over privacy issues. The app's surge in popularity and sudden backlash from some users highlights how artificial intelligence technologies bring about new concerns surrounding identity verification. Digital privacy, data protection - and now images and biometric data – is being captured and commercialised at a pace that legislation in most economies is struggling to keep pace with in our view. We believe data, analytics and privacy will become a key theme of decade as consumers, governments and MNCs become increasingly aware of assets that were not considered valuable or sensitive just a few years ago. This is a structural theme we will be watching very closely as a potential edge (or liability) to business models on a medium-term horizon.

 View

  • 03 Sep 19
  • -
  • -

KAPE ARB AVST CNS DFX ECSC FLX IGP MMX NCC OSI SOPH TECH TEK

Brevan Howard plans crypto fund, Google discovers 2-YR iPhone security flaws

Alan Howard’s push into crypto is a badly kept secret that appears to be crystallising into reality. In our view, the crypto space has undergone a very interesting transition from rampant retail speculation to, well, rampant retail speculation underpinned by a broad base of institutional interest. Google search volumes have fallen, transaction sizes appear to be escalating and the latest wave of equipment upgrades suggest consumer interest and potential to participate is now very low. Meanwhile, increased macro risk, currency controls and privacy concerns may be fuelling increased interest. We await further signs of whether we are at a turning point or whether this is (another) flash in the pan. Apple’s woes appear to be mounting as the group undergoes a difficult transition from a lifetime of focus on aesthetically pleasing hardware with a highly refined user experience, to a services focus. On one hand, the group’s key product the iPhone (which accounted for most revenues until very recently) is rapidly entering commoditised territory. Consumers have the option of a powerful and near fully-featured £160 generic Android handset or a cutting-edge iPhone for £1,000; for many, the choice is a simple one. The supply chain woes of having massive exposure to China in the context of the US-China trade war is also likely to weigh heavily on short term strategy. On the other hand, the group’s services are consumer focused and face strong competition from the likes of Amazon, Spotify, Microsoft and Netflix. If the thesis was to build the services on a firm foundation of the Apple hardware base, the cracks in security are worrying.

 View

  • 02 Sep 19
  • -
  • -