While Gentrack stays quiet on the bourse, they are quite busy in the news

Do a Google search of Gentrack and you will see a few deals and other news items in the last month

I admit though some of the deals "look" small.

I'll hold my hand up that I've been accumulating under 10 even if it "looks expensive" and there is "better value elsewhere".

[held]

Regal and WAM have been sellers recently

So maybe this is too expensive as alluded by many?

One way I see it is they are making a profit despite the 145x PER.

Will continue to hold for reasons I will go into later.

And I can't see anything I can buy right now that could be better value.

(Held)

Apart from the Index inclusion, this MS report last week could explain the run to $10

Like the phrase "channel checks" which was also used to recently push up the price of Lithium.

The report is really big and comprehensive so only posting some of it.

[held]

Cannacord Price target NZ $11.00 (from NZ $7.50) or AUD $10.20

Saving the best for last on the long weekend.

[held]

Apparently Jefferies thinks Gentrack should go higher even after the near 20% rally

The link is paywalled.

And another target from Goldman Sachs of NZD 10.55 (also paywalled)

I did see the content somewhere on the DJ morning notes but now can't find it (must be archived)

Just a few guides but take the targets with a grain of salt.

[held]

Analyst estimates are forecasting EPS 10 cps and 157m revenue (trading view)

Looks like Gentrack will beat this?

Market response looks positive.

Too bad I hesitated on the Friday sell down to add but was "expensive" even then.

Held

Doing a comparison on Tikr of a few software tech firms which looks like a really neat feature. The big red one in negative territory is Siteminder.

A bit of background for those that are unaware, Gentrak offers billing and software solutions for utilities and power companies that ties in with their enterprise systems (ie: ERP, CRM). It appears after sorting out their past issues as detailed in earlier straws things are kicking along.

Arguably GTK is targeting a slower growth and more bureaucratic market than Siteminder which still appears to be cashflow negative, but the financials are going in the right direction. And the incentives are all based on EPS and price performance.

The last price target I can find is from Cannacord @ $4.73 in June 2023. Below are excerpts from the old report

Note that 2023 Actual sales was 169m which is a big beat.

Somehow managed to buy a few on the dip today (26/4/2024)) down to 7.29 before it recovered to 7.56. Not sure what caused this huge intraday swing.

Seems expensive on a FCF basis compared to HSN which needs some digging.

[held]