Stock, Digital Turbine My Top 3 Holdings: A Quick Update (APPS, PLTR, CCIV)
Now the first company i want to talk about today is digital turbine. Now digital turbine just supported their fiscal 2020. Third quarter results and man did they deliver now. They reported third quarter revenue of 88.6 million representing a 146 percent annual growth. Now their application media revenue increased 58 year over year to 56.9 million and content media revenue, totaled 31.7 million. Now their net income was 14.5 million or 15 cents per share, with a non gaap, adjusted net income coming out to be 20 million or or 21 cents per share. The company’s application media software was installed on approximately 65 million devices just during the third quarter and has now been installed on more than 570 million devices to date. This is one of the main reasons i love digital turbine they’re continuously getting more of their software on the devices which, once they have it, acts as a pool of recurring revenue for them. Now, let’s compare this to their expectations. Now, as we talked about earlier, the earnings adjusted came out to be 21 cents per share, with the average estimate being 16 cents per share. Now they posted the 88.6 million in this period, which significantly beat their analyst expectations of 75.1 million. Now they expect the full year earnings to be 67 cents per share with revenue in the range of around 300 million. Now looking at digital turbines earnings history, by quarter, we can see that from 2020 they started significantly beating their revenue and eps.
So we can see in the later half of 2019 that they missed both their eps and revenue. However, from 2020 on they started beating both on the top line and bottom line. Now, in the first two quarters of 2020, they beat by only about a million dollars. However, however, in the last half of 2020, they beat by about 10 million and in this quarter, as we saw earlier, they beat again by 10 million. So this is really great to see, even as they continue to surpass their expectations. They’Re blowing it out of the water, and we can see the market reacting pretty well to this news as they’re up about 14 in aftermarket. I truly believe apps is going to hit 100 by the end of this year and i still think getting it around. This price of 70 would be a good entry point if you’re thinking about the long term, so another one of my biggest holdings that i actually talked about in one of my earlier videos is palantir. Now palantir announced their date of fourth quarter 2020 earnings, which is going to be released on tuesday february 16th, 2021, so it’s not for another couple weeks or so. So, as we all know, palantir went ipo in 2020 and has seen an amazing run. In the past year now they’ve only reported earnings once as a public company. We can see that the consensus estimate was two cents for eps. They reported nine cents.
The revenue estimate was about 279 million and the actual revenue was 289 million, so they beat on the both top and bottom line. Now, my guess and hopes is that they beat pretty significantly like they did in the last quarter. Now i think they have a pretty good chance of beating because they’ve closed out 2020 with nearly 150 million dollar in new government contracts. Now it’ll be really interesting to see how well foundry does on the commercial side and how well that side of their business does. For them now, pilon tier has been pretty volatile in this past year. We can see that it shot up all the way back in late november and was trading in that range ever since now, after all, the meme stocks and short squeezes started happening, palantir shot up. All the way to a high about 45 dollars after that it’s been trading down ever since and is now sitting around 31 dollars now back tested this support line about thirty dollars, and we can see that it held um yesterday now today it was up about two Percent – and i think, building position here would be a good time to get in now. We can always see this stock drop all the way down and start testing the support line around 27. However, i think with earnings coming up, i can definitely see the stock continue to rise as the hype in anticipation rises and if they beat, you won’t see this price around 30 anymore.
So for me personally, if this breaks, i would be interested in adding more to my position. However, i am very heavy in it, so i might just buy some call options there. Lastly, you know how to do it, but let’s talk about cc iv, reportedly merging with lucid motors, so what happened today was there’s a couple articles that came out saying that there’s no imminent, lucid motor spac merger, which sent the shares crashing today the wall street journal Says no deal is imminent. We can see this reporter elliot brown with his title. Electric car buzz pushes up shares in company with nothing, but cash cciv’s stock has more than tripled on report. It is in talks with lucid motors also on twitter. Some guy named walter bloomberg, came out and said churchill capital deal with lucid isn’t imminent. Honestly, i find this all pretty hilarious as it’s obvious it hasn’t been announced. Yet so when people say the deal isn’t imminent or it hasn’t been done yet it’s not like this is revolutionary news. We already knew that. So what i think is happening is people are just getting impatient wanting to profit, take and that’s. Why we’re seeing a sell off now cciv has been on an amazing run. Thankfully i got in on the second day of the announcement where i was trading around 14 and honestly it’s been on an amazing ride ever since, so even if it’s pulled back, maybe 15 percent it’s still up at an all time high.
Well, if you don’t have a position, you need to understand that if you buy in now, you have significantly more risk until the announcement of the merger. It will consistently be trading up and down. So if you do decide to buy into the stock, you do need to have the gut for the volatility. Now we can see even in the post market trading, around 27 it’s back testing the support line that’s in an uptrend, so it’s still bullish right now. Until it breaks this support line, then we can see further downside. So if i were, you and don’t have a position. I would wait to see what happens tomorrow if it drops below, we can definitely see this dip down even further. However, if it continues to hold this, i can definitely see this push back up and start trading. Above 30, again, alright guys well that’s pretty much the whole entire episode. I just wanted to talk about the three biggest holdings that i have in my account now i’m happy to share my positions with you guys, because i want to be as transparent as possible on this channel. I think it’s really important to not just talk to talk but to be able to show exactly what’s going on behind closed doors. Now i definitely didn’t expect cciv to instantly become one of my largest positions, although i did put a lot of my own capital into it. However, this is just the state of where it’s at right now now i’m happy to share this information with you guys, because i talked about cciv, talenteer and apps and all recommended it on my channel.
So this is currently where i’m at right. Now these are my positions and i do not plan on selling this anytime soon.