Due Diligence for Investors in SITO Mobile, Ltd.
We have linked below a summary of the SITO form 10-K filed in late November for the year ended September 30, 2015. The 10-K details the company’s progress with acquisitions, as well as company events and financing agreements. We have also linked the company’s financial statement and balance sheet through Yahoo Finance. The SITO press release we’ve included gives the details of the company’s new partnership with Canadian advertiser Cieslok Media.
Our View: SITO is making things happen in the right direction. Last week they delivered a one-two punch by reporting a dramatic increase in revenue and then following up with an announcement of a potentially lucrative partnership with Cieslok Media, a Canadian company. The partnership with Cieslok is expected to generate $2 million in revenue next year. Cieslok is a dominant player in the outdoor billboard and out of home media markets, including mobile.
The SITO platform that creates consumer analytics from data gathered from buyer’s locales and habits, as opposed to the traditional model of internet usage is innovative and seems to make sense to its customers.
SITO has experienced 100% revenue growth over the past two fiscal years with 60% of that rise coming in the last year. Analysts have set a target price on SITO in the $7 to $8 dollar range with 2016 revenue expected to hit $34 million. SITO shares are recommended by the same analysts as a “buy” to “strong buy”.
SITO – Form 10-K Summary – November 25, 2015
http://biz.yahoo.com/e/151125/sito10-k.html
SITO – Press Release – December 2, 2015
http://finance.yahoo.com/news/sito-mobile-cieslok-media-announce-134500156.html
Yahoo Finance – SITO Financial Statement – November 24, 2015
http://finance.yahoo.com/q/is?s=SITO+Income+Statement&annual
Yahoo Finance – SITO Balance Sheet – November 24, 2015
http://finance.yahoo.com/q/bs?s=SITO+Balance+Sheet&annual
Yahoo Finance – Analyst Opinions – December 7. 2015
http://finance.yahoo.com/q/ao?s=SITO+Analyst+Opinion
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