Sea is in for further rough weather. Sea has taken a big hit as India has banned its most popular game, Free Fire, creating the concern that the growth of the company could evaporate meaning that its valuation should be far lower. Sea is Southeast Asia’s biggest digital ecosystem covering both the Gaming and the Shopping segment and derives the...
MoviePass is back with another hare-brained wheeze. MoviePass has returned to life under its original founder with an idea to create a token-based marketplace for cinema coupons but how it will attract any users outside of offering uneconomic, company-breaking discounts is a big mystery. MoviePass has emerged from Chapter 7 bankruptcy in the hands of its original founder Stacey Spikes...
Twitter Q4 2021 – Social graph. Twitter has managed to avoid the depredation of Apple’s privacy features underlining that while Twitter is a niche offering, it executes on that niche extremely well. Q4 2021 revenues / EPS were $1.57bn / $0.21 broadly in line with estimates of $1.57bn / $0.16. Guidance was also in line with expectations with revenues of...
The streaming war is far from over. Disney reported good FQ1 22 results as Disney+ is continuing to add subscribers demonstrating that in the streaming wars, content remains as important as ever. FQ1 22 revenues / EPS were $21.8bn / $1.06 nicely ahead of expectations of $20.9bn / $0.63 as both Disney+ and the theme parks did much better than...
An unthinkable transaction remains exactly that. It looks like Nvidia has thrown in the towel on the transaction to acquire Arm with the likely result now a relisting of Arm or possibly, the company staying as part of SoftBank. SoftBank is the big loser here as the rally in Nvidia’s share price has meant that the $30bn+ profit that it...
Peloton goes on the block. Amazon, Nike, Apple and so on are thought to be considering a purchase of Peloton, which while it has a pretty good fitness brand, also has a business model and demand outlook that is likely to make potential acquirors think twice. The notion that Peloton may be acquired sent the shares up 27% in...
Amazon Q4 21 – AWS to the rescue, again. Amazon reported good results in the face of rising costs, but it was the combination of the price increase for Prime and relief that Amazon is not Meta that sent the shares up an incredulous 15% in after-hours trading. Q4 21 revenues / EPS were $137.4bn / $27.75 compared to...
A further derating is on the cards. Meta reported good Q4 21 results but a flatlining of subscriber numbers raised fears that users are at last beginning to vote with their feet triggering a panicked rush for the exit sending the shares down 22.8% in after-hours trading. This hammering spread through the technology industry with SNAP falling 10% and even...
Alphabet on track for a good 2022 Alphabet reported very solid results as seasonality augmented the secular shift to digital advertising and the potential headwinds caused by Apple privacy issues and economic disruptions caused by the latest pandemic variant had little if no impact. Q4 21 revenues / EPS were $75.3bn (up 32% YoY) / $30.69 comfortably ahead of forecasts...
Richard is founder, owner of research company, Radio Free Mobile. He has 16 years of experience working in sell side equity research. During his 11 year tenure at Nomura Securities, he focused on the equity coverage of the Global Technology sector.
Roblox Q4 21 – The hangover
Roblox suffers a big hangover from the COVID party. Another Metaverse darling is struggling with slower growth underlining that the Metaverse is many years away making it un-investible for all intents and purposes. The latest stumble comes from Roblox which reported weaker than expected results which caused the shares to fall another 13% despite having nearly halved in the last...