Latest news with #ConnexionMobility
Yahoo
16 hours ago
- Business
- Yahoo
With EPS Growth And More, Connexion Mobility (ASX:CXZ) Makes An Interesting Case
For beginners, it can seem like a good idea (and an exciting prospect) to buy a company that tells a good story to investors, even if it currently lacks a track record of revenue and profit. Sometimes these stories can cloud the minds of investors, leading them to invest with their emotions rather than on the merit of good company fundamentals. While a well funded company may sustain losses for years, it will need to generate a profit eventually, or else investors will move on and the company will wither away. Despite being in the age of tech-stock blue-sky investing, many investors still adopt a more traditional strategy; buying shares in profitable companies like Connexion Mobility (ASX:CXZ). While this doesn't necessarily speak to whether it's undervalued, the profitability of the business is enough to warrant some appreciation - especially if its growing. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. Connexion Mobility's Improving Profits Connexion Mobility has undergone a massive growth in earnings per share over the last three years. So much so that this three year growth rate wouldn't be a fair assessment of the company's future. Thus, it makes sense to focus on more recent growth rates, instead. Connexion Mobility's EPS skyrocketed from US$0.002 to US$0.0031, in just one year; a result that's bound to bring a smile to shareholders. That's a commendable gain of 51%. Top-line growth is a great indicator that growth is sustainable, and combined with a high earnings before interest and taxation (EBIT) margin, it's a great way for a company to maintain a competitive advantage in the market. While we note Connexion Mobility achieved similar EBIT margins to last year, revenue grew by a solid 14% to US$11m. That's encouraging news for the company! You can take a look at the company's revenue and earnings growth trend, in the chart below. To see the actual numbers, click on the chart. View our latest analysis for Connexion Mobility Since Connexion Mobility is no giant, with a market capitalisation of AU$21m, you should definitely check its cash and debt before getting too excited about its prospects. Are Connexion Mobility Insiders Aligned With All Shareholders? It's said that there's no smoke without fire. For investors, insider buying is often the smoke that indicates which stocks could set the market alight. Because often, the purchase of stock is a sign that the buyer views it as undervalued. However, insiders are sometimes wrong, and we don't know the exact thinking behind their acquisitions. It's nice to see that there have been no reports of any insiders selling shares in Connexion Mobility in the previous 12 months. Add in the fact that Aaryn Nania, the MD, CEO & Director of the company, paid US$46k for shares at around US$0.025 each. Purchases like this can help the investors understand the views of the management team; in which case they see some potential in Connexion Mobility. Is Connexion Mobility Worth Keeping An Eye On? You can't deny that Connexion Mobility has grown its earnings per share at a very impressive rate. That's attractive. The growth rate should be enticing enough to consider researching the company, and the insider buying is a great added bonus. In essence, your time will not be wasted checking out Connexion Mobility in more detail. However, before you get too excited we've discovered 2 warning signs for Connexion Mobility (1 makes us a bit uncomfortable!) that you should be aware of. The good news is that Connexion Mobility is not the only stock with insider buying. Here's a list of small cap, undervalued companies in AU with insider buying in the last three months! Please note the insider transactions discussed in this article refer to reportable transactions in the relevant jurisdiction. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
16 hours ago
- Business
- Yahoo
Connexion Mobility Full Year 2025 Earnings: EPS: US$0.003 (vs US$0.002 in FY 2024)
Explore Connexion Mobility's Fair Values from the Community and select yours Connexion Mobility (ASX:CXZ) Full Year 2025 Results Key Financial Results Revenue: US$11.2m (up 14% from FY 2024). Net income: US$2.48m (up 32% from FY 2024). Profit margin: 22% (up from 19% in FY 2024). The increase in margin was driven by higher revenue. EPS: US$0.003 (up from US$0.002 in FY 2024). This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. All figures shown in the chart above are for the trailing 12 month (TTM) period Connexion Mobility shares are down 3.7% from a week ago. Risk Analysis You should always think about risks. Case in point, we've spotted 2 warning signs for Connexion Mobility you should be aware of, and 1 of them doesn't sit too well with us. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Fehler beim Abrufen der Daten Melden Sie sich an, um Ihr Portfolio aufzurufen. Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten Fehler beim Abrufen der Daten
Yahoo
14-03-2025
- Business
- Yahoo
Estimating The Intrinsic Value Of Connexion Mobility Ltd (ASX:CXZ)
Connexion Mobility's estimated fair value is AU$0.036 based on 2 Stage Free Cash Flow to Equity Current share price of AU$0.03 suggests Connexion Mobility is potentially trading close to its fair value In this article we are going to estimate the intrinsic value of Connexion Mobility Ltd (ASX:CXZ) by projecting its future cash flows and then discounting them to today's value. We will take advantage of the Discounted Cash Flow (DCF) model for this purpose. Don't get put off by the jargon, the math behind it is actually quite straightforward. Remember though, that there are many ways to estimate a company's value, and a DCF is just one method. Anyone interested in learning a bit more about intrinsic value should have a read of the Simply Wall St analysis model. Check out our latest analysis for Connexion Mobility We're using the 2-stage growth model, which simply means we take in account two stages of company's growth. In the initial period the company may have a higher growth rate and the second stage is usually assumed to have a stable growth rate. To start off with, we need to estimate the next ten years of cash flows. Seeing as no analyst estimates of free cash flow are available to us, we have extrapolate the previous free cash flow (FCF) from the company's last reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years. A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars: 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 Levered FCF ($, Millions) US$1.34m US$1.17m US$1.08m US$1.03m US$1.00m US$994.0k US$995.8k US$1.01m US$1.02m US$1.04m Growth Rate Estimate Source Est @ -19.01% Est @ -12.48% Est @ -7.92% Est @ -4.72% Est @ -2.48% Est @ -0.92% Est @ 0.18% Est @ 0.95% Est @ 1.49% Est @ 1.86% Present Value ($, Millions) Discounted @ 7.3% US$1.2 US$1.0 US$0.9 US$0.8 US$0.7 US$0.6 US$0.6 US$0.6 US$0.5 US$0.5 ("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$7.5m After calculating the present value of future cash flows in the initial 10-year period, we need to calculate the Terminal Value, which accounts for all future cash flows beyond the first stage. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.7%. We discount the terminal cash flows to today's value at a cost of equity of 7.3%. Terminal Value (TV)= FCF2034 × (1 + g) ÷ (r – g) = US$1.0m× (1 + 2.7%) ÷ (7.3%– 2.7%) = US$23m Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$23m÷ ( 1 + 7.3%)10= US$11m The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is US$19m. In the final step we divide the equity value by the number of shares outstanding. Relative to the current share price of AU$0.03, the company appears about fair value at a 17% discount to where the stock price trades currently. Remember though, that this is just an approximate valuation, and like any complex formula - garbage in, garbage out. We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows. If you don't agree with these result, have a go at the calculation yourself and play with the assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Connexion Mobility as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 7.3%, which is based on a levered beta of 1.062. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business. Strength Currently debt free. Weakness Earnings declined over the past year. Opportunity Current share price is below our estimate of fair value. Lack of analyst coverage makes it difficult to determine CXZ's earnings prospects. Threat No apparent threats visible for CXZ. Valuation is only one side of the coin in terms of building your investment thesis, and it is only one of many factors that you need to assess for a company. It's not possible to obtain a foolproof valuation with a DCF model. Preferably you'd apply different cases and assumptions and see how they would impact the company's valuation. For example, changes in the company's cost of equity or the risk free rate can significantly impact the valuation. For Connexion Mobility, we've put together three further factors you should further examine: Risks: You should be aware of the 2 warning signs for Connexion Mobility (1 shouldn't be ignored!) we've uncovered before considering an investment in the company. Other High Quality Alternatives: Do you like a good all-rounder? Explore our interactive list of high quality stocks to get an idea of what else is out there you may be missing! Other Top Analyst Picks: Interested to see what the analysts are thinking? Take a look at our interactive list of analysts' top stock picks to find out what they feel might have an attractive future outlook! PS. The Simply Wall St app conducts a discounted cash flow valuation for every stock on the ASX every day. If you want to find the calculation for other stocks just search here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
27-01-2025
- Automotive
- Yahoo
Connexion Mobility ties up with Modives on insurance verification
Automotive company Connexion Mobility has teamed up with insurance verification and monitoring company Modives to bring identity and insurance verification to the automotive space. Connexion Mobility's network of dealership customers can now improve their risk management for courtesy fleets. According to the company, outdated verification processes result in various costs including vehicle downtime, repair expenses, business interruptions and liability risks. Moreover, recent updates to the Federal Trade Commission's Safeguards Rule now impose new compliance obligations on auto dealerships, OEMs and lenders. Failure to meet these requirements, including proper verification of insurance coverage, can lead to fines of up to $51,744 per violation. CheckMy Driver, Modives' patent-pending insurance verification app, along with CheckMy ID represent a secure, automated, real-time solution for insurance and identity verification, meeting new compliance requirements. The system helps protect customer data and reduce dealership liability. This partnership integrates CheckMy Driver and CheckMy ID into Connexion Mobility's fleet and rental management platform to improve operational efficiency for dealers. The integration is said to enhance efficiency in operations, reduce risk and result in better consumer experience with Express Check-in and a higher dealer Customer Satisfaction Index (CSI) rating. By using insurance and identity data, dealerships can identify sales opportunities for upgrades, new cars and products such as warranties and vehicle service contracts (VSCs). Connexion Mobility CEO Aaryn Nania said: 'By turning routine transactions into strategic opportunities, we are not only enhancing customer experiences and protecting OEMs and dealers' businesses but also helping our dealers uncover new revenue potential. CheckMy Driver and CheckMy ID are the perfect complement to our mission of delivering valuable innovation to the automotive industry.' Modives CEO Fred Waite stated: 'By integrating CheckMy Driver and CheckMy ID into their dealers' workflows, Connexion not only empowers dealers to mitigate risks but also leverages the resulting unique customer data for revenue-generating activity.' "Connexion Mobility ties up with Modives on insurance verification " was originally created and published by Life Insurance International, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site.
