Would it be a candidate to be bought out? Who would purchase it?
Market cap is now $153M, up 58% YTD. Insiders own 7.7% and have been net buyers this year. Pederfund owns 16.5%. Redpoint Omega owns 14.3%. Net cash is about $4M. 12-month cash flow was +$8.5M. A loss is expected in 2025 but it should see first profit next year (3c per share predicted). Revenue rose 27% in the Q1 and recent contract wins set up good revenue growth visibility. Tariffs remain a short term concern as production is in the Phillipines. Stock predictions on small caps are tough. The stock is up 82% in the past decade. But at a larger market cap, and with good growth, investor interest increases. The sector outlook remains robust and the need for GRID's products is likely to increase. We might target a double+ over 10 years, or more if the company can execute on growth plans as expected. A company serving the sector such as ITRI might have interest one day, but picking 'buyers' is always difficult. The company is small right now and we doubt management would be at all interested in selling while it is in high growth mode.