Edenbrook Capital, LLC (Trades, Portfolio), a prominent investment firm, has recently expanded its holdings in Brightcove Inc (BCOV, Financial). This article will delve into the details of the transaction, provide an overview of Edenbrook Capital, LLC (Trades, Portfolio), and analyze the performance and potential of Brightcove Inc.
About Edenbrook Capital, LLC (Trades, Portfolio)
Edenbrook Capital, LLC (Trades, Portfolio), located at 116 Radio Circle, Mt. Kisco, NY, is an investment firm with a diverse portfolio. The firm's top holdings include Brightcove Inc(BCOV, Financial), Haynes International Inc(HAYN, Financial), Marchex Inc(MCHX, Financial), Magnite Inc(MGNI, Financial), and Absolute Software Corp(ABST, Financial). With an equity of $480 million, the firm primarily invests in the Technology and Communication Services sectors.
Transaction Details
On July 13, 2023, Edenbrook Capital, LLC (Trades, Portfolio) added 47,500 shares of Brightcove Inc to its portfolio at a price of $4 per share. This transaction increased the firm's total holdings in Brightcove Inc to 6,184,905 shares, representing 5.15% of the firm's portfolio and 14.43% of Brightcove Inc's total shares. The transaction had a 0.04% impact on Edenbrook Capital, LLC (Trades, Portfolio)'s portfolio.
Profile of Brightcove Inc
Brightcove Inc, a US-based company, provides cloud-based services for the video ecosystem. The company's flagship product, Brightcove Video Cloud, enables customers to publish and distribute video to Internet-connected devices. Brightcove Inc operates in the Premium and Volume segments and has a market capitalization of $171.212 million. As of July 14, 2023, the company's stock price is $3.995.
Despite a PE percentage of 0.00, Brightcove Inc's GF Value is 9.14, indicating a possible value trap. The stock's price to GF Value is 0.44, suggesting that it is currently undervalued. Since its IPO on February 17, 2012, the stock has declined by 72.45%, and its year-to-date performance is -23.47%.
Stock Performance Analysis
Brightcove Inc's GF Score is 57, indicating poor future performance potential. The company's balance sheet, profitability, and growth ranks are 5, 3, and 3, respectively. Its F Score is 3, and its Z Score is -0.13. The company's cash to debt ratio is 0.52, and it ranks 2117 in this category. Brightcove Inc operates in the Software industry and has a ROE of -18.99% and a ROA of -8.39%. The company's gross margin growth is 2.10%, and its 3-year revenue growth is 1.30%. Its 3-year EBITDA growth is 0.00%, and its 3-year earnings growth is 27.60%.
Stock Momentum Analysis
Brightcove Inc's 5-day, 9-day, and 14-day RSI are 38.90, 44.21, and 46.50, respectively. The company's 6 - 1 month and 12 - 1 month momentum indices are -24.91 and -28.10, respectively. The company ranks 1273 in the 14-day RSI category and 2246 in the 6 - 1 month momentum index category.
Conclusion
Edenbrook Capital, LLC (Trades, Portfolio)'s recent acquisition of Brightcove Inc shares reflects the firm's confidence in the company's potential. Despite Brightcove Inc's underperformance since its IPO and its poor future performance potential, the company's undervaluation and Edenbrook Capital, LLC (Trades, Portfolio)'s significant stake in the company suggest potential for future growth.
All data and rankings are accurate as of July 14, 2023.
