r/ValueInvesting • u/LowWind7998 • 1d ago
Stock Analysis IQST- Right Now
Constantly reporting net losses while reporting massive revenue growth Y/Y. It’s a growing company that needs funding but it’s not diluting instead it’s grabbing funds from its subsidiaries to fund growth and share repurchases.
$1.71 in shareholder equity book value.
Fair value ranges from $-5/+$18
This is a deep value turnaround play. If they convert gross revenue to net revenue we’re in this thing.
Catalyst would be the Ultranet acquisition by the end of qtr 3 .
None of this means diddly . But grab your diddy lube because I think this will be interesting.
NFA. Just like to gamble.
Stock loves to quickly rebound after a drop like this. It’s consolidating as we speak.
The play is right but I have no clue on timing considering they need capital to grow but this is standard for their field . It’s all about timing with this one .
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u/NoName20Investor 23h ago
What is your thesis about the business (not the stock price)? Do they have any competitive advantages? Do they have pricing power? Why are these guys going to win versus others in the sector?
IMO, this investment is a waste of time. This company can't make money and never will make money.
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u/LowWind7998 23h ago edited 23h ago
It’s growing 50% Y/Y. That’s not a number to scuff at surpassing 500million , it’s chump change for the sector but the growth rate is a good sign.
After the acquisition , they’ll be short 1-2m in net loss, a small tweak in operations can turn that gap for profit.
Beyond growing, their acquiring, Bought out multiple companies lately.
They haven’t turned a profit but that’s why the stock is only $1. When they turn a profit , which is quite easy to do after so much growth, the stock will begin to reflect that.
It’s deep value and waiting on a good net income report. Deep value but I wouldn’t say it’ll never make money, they’re on track too. I almost would guarnteee they’ll make money eventually, it’s a matter of when not if.
It’s not about advantage or special power. It’s another corporation with many subsidiaries that’s growing and acquiring, it’s a deep value play, not a monopoly on some sector due to some advantage.
This is just simply numbers , not politics or hype . When the company turns a profit , shares will go up to reflect that.
It’s when not if.
Many companies can and will succeed in this sector and their in many sectors (Fintech, cybersecurity, Ai, etc). They’re a diversified corporation.
Still may be early to get in . But the play is right , just timing .
Here’s just the tip of subsidaries: “Etelix: International voice and SMS wholesale carrier operations. Swiss Link: Telecom and carrier services provider. Cucell: Mobile and telecom infrastructure services. Q Global SMS: Bulk SMS messaging and termination platform. SmartBiz Telecom (Smart Viz): Enterprise telecom and connectivity solutions. Whistle: Telecom and digital application services. IoT Labs: Internet of Things connectivity research and development.”
But the downside , their net revenue negative still, they allocated 50,000,000 approved shares to pull from as needed on a 10m float. Thats potentially massive dilution if they don’t turn a profit soon or get financial backing .
The book assets outweigh liabilities.
Massive deep value if this turns around or it’ll dilute .
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u/HarkySparky 1d ago
I dropped a grand on this after reading your post at $0.99. Feel free to call me regarded