Interestingly, share of Ybrant Digital hit a life-time low of Rs 2.53 per piece and is currently zoomed to Rs 54.90. The company has not announced any stock split, rights issue or bonus so far.
Digital media company Ybrant Digital (YDL), which was recently rechirstined as Lycos Internet Limited, is likely to see revenue and earnings growth at a CAGR of 13 percent and 21 percent respectively between FY14-16, says a report by research firm SPA. The digital marketing segment, which is poised to grow at a CAGR of 17 percent will be the primary driver. The Hyderabad-based Ybrant Digital acquired the US firm Lycos in 2010 for USD 36 million. Ybrant Digital has decided to rebrand itself as Lycos since it is wants to increase focus on digital media solutions.
Interestingly, share of Ybrant Digital hit a life-time low of Rs 2.53 per piece in November 2013 and zoomed to Rs 61 this year. Currently it is trading at Rs 54/share. The company has not announced any stock split, rights issue or bonus so far.
Also, if one looks at the financial history, the company reported a jump of 170 percent in its FY12 net sales which stood at Rs 12,632 million. In the financial year FY13 and FY14, its net sales rose above Rs 16,000 million. Its current P/E is 12.10 times, which is much lower than the industry P/E of nearly 22 times.
The company registered a turnover of Rs 1,700 crore in 2013-14. It enjoys a market of Rs 2,619 crore.
Recently, the team of SPA met with management of YDL to understand the business model and how its plans to monetize their investment in Lycos Inc.
Here are the excerpts from the report
Digital ad spend to grow at a CAGR of 16% between FY13-18
Digital ad spending will grow by 14.8% to reach USD 140 billion in 2014 and between 2013-18, it is expected to grow at a CAGR of 16 percent to reach USD 214 bn in 2018. On the other hand, total media ad spending is expected to grow at a CAGR of 5% during this period to reach $656 bn by 2018. Total ad spending in 2013 was $517 bn. Digital ad spending currently accounts for ~23% of total ad spending, up from 12% in 2008 and will account for ~33% of total ad spending by 2018.
Outlook & Valuation
Going ahead, while the core business of digital marketing is expected to grow at ~15-20 percent, it will be the company's ability to launch successful product under Lycos media and effectively monetizing the incoming traffic, that would give quantum jump to revenue and valuation.
Ybrant Digital stock price
On September 17, 2014, at 14:10 hrs Ybrant Digital was quoting at Rs 54.95, down Rs 0.35, or 0.63 percent. The 52-week high of the share was Rs 61.50 and the 52-week low was Rs 2.53.
The latest book value of the company is Rs 13.10 per share. At current value, the price-to-book value of the company was 4.19.
Anda sedang membaca artikel tentang
How Ybrant Digital plans to make most of Lycos acquisition
Dengan url
https://kesehatanda.blogspot.com/2014/09/how-ybrant-digital-plans-to-make-most.html
Anda boleh menyebar luaskannya atau mengcopy paste-nya
How Ybrant Digital plans to make most of Lycos acquisition
namun jangan lupa untuk meletakkan link
How Ybrant Digital plans to make most of Lycos acquisition
sebagai sumbernya
0 komentar:
Posting Komentar