$TXHD going to bounce. Last trade .0008. Ludlow Re
Post# of 103003
Ludlow Research Issues $0.02 Target on TXHD Based on Low Market Cap Valuation
(NEW YORK) – Ludlow Research initiated valuation opinion on Textmunication Holdings, Inc. (OTC: TXHD), an online mobile marketing platform service provider, with a valuation target of $0.02 to $0.03 based on rapid growth of SMS volume, earnings, and low market capitalization.
Report Highlights
- SMS Volume Increased 100%+ in Q4 2016 - Revenues Growing Quarter over Quarter - Launching White Label and Direct API Outreach - Growing Use of SMS within Political Activism - Projecting 10x Increase in SMS Volume by Q2 2017 - 200 Million Shares Outstanding - Low Market Cap Valuation
In the report, Ludlow Research made note of TXHD growing revenues, projected growth of SMS volume their mobile marketing platform, and current low market capitalization.
Recent Earnings
For the three months ended September 30, 2016, the Company reported revenues of $129,943, as compared to $80,289 for the three months ended September 30, 2015. For the nine months ended September 30, 2016, the Company reported revenues of $321,802, as compared to $236,912 for the nine months ended September 30, 2015.
The increase in revenues for the three and nine months ended September 30, 2016 over the prior year periods was due to more customer accounts achieved from a change in their pricing model to become more competitive. The Company stated they expect to achieve greater revenues for the rest of 2016, and into 2017.
Sector Comparison
One of the main players within the SMS marketing sector is Twilio, Inc. (NYSE:TWLO), which trades at a market cap of just around $2.4 billion.
Share Structure
As of January 2017, the Company had roughly 200 million common shares issued and outstanding, which gives TXHD a market cap of only $400,000 at a price of $0.002 per share.
The Company has declared there are no plans in the immediate future to make any large share issuance in regards to acquisitions at these current market conditions, and this could clear the way for run up without any fear of large changes in valuation potential in the short-term.
Conclusion
Based on TXHD current and projected growth in revenues, increasing volume on their SMS marketing platform, expansion of their White Label and Direct API technology, and low market cap value compared to sector, Ludlow Research has issued a ‘speculative’ valuation target of $4 to $6 million on TXHD, or a price of $0.02 to $0.03 per share based on current share structure.
About Textmunication Holdings, Inc.
Textmunication Holdings, Inc. is developer in the mobile marketing and loyalty industry, providing cutting-edge mobile marketing solutions, rewards and loyalty to our clients. With a powerful yet intuitive suite of services, clients are able to reach more customers faster and reward them for repeat business through SMS technology. We help clients reach their marketing and revenue goals by educating clients with the most effective tools in mobile marketing, rewards, paperless redemption and loyalty. www.textmunication.com
Follow the Company on Twitter for updates: http://twitter.com/Textmunication
About Ludlow Research
Ludlow Research is a New York based equity research firm that focuses on providing research coverage and investor awareness services to emerging small-cap companies. For over 14 years we have worked to provide our readers with a simple way of evaluating the current and potential value of small-cap companies, while garnering these clients greater market awareness to new investors. For more information on us please visit www.ludlowresearch.com
Contact:
Ludlow Research Phone: (347) 483-0121 Email: info@ludlowresearch.com