BIGTINCAN HOLDINGS LIMITED (BTH)
Share Price Analysis and Chart

18/06/2024

3

Downgrade to Equal-weight from Overweight

$0.10

-48.72%

Morgan Stanley downgrades Bigtincan Holdings to Equal-weight from Overweight and reduces the target to 10c from 35c due to a lack of earnings visibility. Industry view: In line.

While management has reiterated its free cash flow (FCF) target), equity was also raised (a 1-for-3 entitlement offer) and an expensive debt facility (which had an effective interest rate of at least 16%) was extended.

The analysts have other concerns including an elevated rate of churn, declining revenue, and the withdrawal of offers by multiple potential suitors with access to more detailed data than Morgan Stanley.

FORECAST
Morgan Stanley forecasts a full year FY25 dividend of 0.00 cents and EPS of minus -0.10 cents.

20/09/2024

3

Hold

$0.20

2.56%

Canaccord Genuity notes Bigtincan Holdings has received another non-binding proposal from Vector Capital Management for 20c or a premium of 67% to the pre-offer price of 12c.

The company said it will evaluate the revised offer. The broker believes this third offer is the most legitimate.

Hold rating unchanged with a revised target price of 20c although a higher bid may emerge the analyst stresses.

FORECAST
Canaccord Genuity forecasts a full year FY25 dividend of 0.00 cents and EPS of 0.10 cents.
Canaccord Genuity forecasts a full year FY26 dividend of 0.00 cents and EPS of 0.20 cents.