Collective Audience recaptures its Pre Nasdaq disputed delisting announcement 52 week low of .35 cents and closes at .45 cents Up 39%.
During that NASDAQ period we noted the bizarre short selling and available short stock to borrow that made zero sense.
In our opinion the company appears to have done the right things and made the right moves, the relief from the burden of the NASDAQ costs for a period should be welcomed, the company will now get to advance its corporate goals without the significant distraction and cost of a NASDAQ listing.
On a revenue basis, forward looking PE basis and a segment basis CAUD is a Buy.
Here’s a summary of industry news relevant to Collective Audience (CAUD) and their market, based on the information available up to August 21, 2024:
- Strategic Appointments and Advisory Board Expansion: Collective Audience has been actively expanding its advisory board with industry veterans, indicating a strategy to leverage expert knowledge for growth and innovation in the digital marketing sector. This includes appointments like Stacey Hawes, Larry Krampf, Josh Tanzer, Joe Zawadzki, and Patrick Dolan, among others, showcasing a strong focus on enhancing their strategic direction and operational capabilities.
- Market Performance: Collective Audience’s stock experienced a significant surge, with a 39% increase on a particular trading day, reflecting positive market sentiment or possibly news-driven interest. This surge was mentioned in a post by Peter Bordes, CEO of Collective Audience, indicating a positive outlook for upcoming periods.
- Ad Market Recovery: There’s a general sentiment in the industry, as noted by Channel 4’s content chief, that the advertising market is recovering from a slump, which could positively impact companies like Collective Audience that rely on ad revenue.
- Consumer Trends in Media Consumption: Research highlighted by CTAM suggests that consumers are moving away from DIY entertainment bundles towards simpler, streamlined viewing experiences. This trend could influence how Collective Audience positions its services, focusing on ease of use and integration for advertisers targeting digital audiences.
- Mergers and Acquisitions in the Space: The mention of Criteo in talks with Skai for a potential merger indicates ongoing consolidation within the ad tech industry, which could influence market dynamics, competition, and innovation strategies for companies like Collective Audience.
- Stock Market Sentiment: While not directly related to Collective Audience, the broader market sentiment, including reactions to uranium equities and expectations around Kazatomprom’s guidance, reflects the volatile and speculative nature of stock markets, which could indirectly affect investor behavior towards tech stocks like CAUD.
- Industry News Roundup: Various posts indicate a dynamic environment in related sectors like libraries and information services, suggesting a broader trend of digital transformation and content aggregation, areas where Collective Audience might find opportunities or face competition.
These points collectively paint a picture of an industry in flux, with recovery signs in the ad market, strategic moves by companies to bolster their expertise, and shifts in consumer behavior towards digital media consumption. For Collective Audience, these developments could mean adapting their offerings to meet new consumer expectations, leveraging industry recovery for growth, and potentially exploring or defending against M&A activities in the sector.
NASDAQ to OTC
Despite Collective Audience’s diligent adherence to its compliance strategy, which included timely SEC filings up to its Form 10-Q for the quarter ending June 30, 2024, and the successful integration of two strategic acquisitions, the Nasdaq appeal panel declined to grant any leeway for the company to shift to the Nasdaq Capital Market. The panel’s decision was influenced by the significant drop in Collective Audience’s stock price post its deSPAC event in November 2023, which they deemed critical in their assessment.
The company had sought to transition to the Nasdaq Capital Market, where it was in compliance with all listing standards except for the minimum bid price requirement, for which it had a compliance deadline extending into October 2024. However, this request was also turned down. Collective Audience now faces a decision on whether to appeal this ruling within the 15-day window provided by Nasdaq.
Despite these setbacks, Collective Audience remains up-to-date with its SEC obligations and has recently bolstered its operations with the completion of two acquisitions, projecting positive EBITDA for 2024 and expecting annual revenues to surpass $7.5 million on a pro forma basis. This financial outlook reflects the company’s strategic growth and operational efficiency, even amidst the challenges posed by its market transition.
