Undiscovered Stocks
Long/short equity

Park City Group - Multiple Red Flags And A Ridiculous Valuation

Park City Group Inc. (NASDAQ:PCYG) is a hybrid subscription revenue company with huge expenses and minimal growth to show for it. The company is expecting revenues and cash flow to miraculously reaccelerate at the same time as their related party investment ramps. In addition, there are possible red flags with their balance sheet and previously recorded revenues, and furthermore, the company is burning through cash. PCYG doesn't seem to worry about shareholder dilution as it continues to add more shares outstanding and as management continues to pay themselves a healthy dividend. The company has continued to be valued on aspirational prospects, but even if the company is able to execute, the valuation is still absurd at 12x sales....

Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
FREESA PRO MEMBERS
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details