Mobile Guru

Long/short equity, deep value, special situations, growth
Mobile Guru
Long/short equity, deep value, special situations, growth
Contributor since: 2010
Nice article. I have followed Spindle for years and am working on an update that I hope to publish in the next week.
Chyten,
I think people just want to see some bigger quarters going forward. I think they do 30 to 40 million in revenue for the year which means some bigger quarters coming but it will probably be in bigger chunks. How Stryker has managed to not have an issue is a real question. Schrader will get an injunction shortly if Marathon holds form which they will according to Doug. Or they will settle before June 1st. What I will say is this has a solid base in this area for those looking to enter or add.
MG
Hal,
I think SPDL had a PR talking about where they have been and where they are going. They need to get traction in the space and this new approach hopefully works. I am waiting like everyone else to see if they can do it or not.
Mg
Nice article. I see Roth also just picked up coverage today with a $12 target.
Roth Capital Begins Coverage on Marathon Patent Group (MARA)
Posted by Joseph Griffin on May 1st, 2015 // No Comments
TweetRoth Capital initiated coverage on shares of Marathon Patent Group (NASDAQ:MARA) in a research note issued on Friday. The firm set a “buy” rating and a $12.00 price target on the stock. Roth Capital’s price objective points to a potential upside of 108.51% from the company’s current price.
Marathon Patent Group (NASDAQ:MARA) opened at 5.755 on Friday. Marathon Patent Group has a 52-week low of $3.550 and a 52-week high of $9.730. The stock’s 50-day moving average is $6.0 and its 200-day moving average is $7.0. The company’s market cap is $80.10 million.
Separately, analysts at Northland Securities initiated coverage on shares of Marathon Patent Group in a research note on Thursday, March 12th. They set an “outperform” rating and a $12.00 price target on the stock. Four investment analysts have rated the stock with a buy rating and one has issued a strong buy rating to the stock. The company currently has an average rating of “Buy” and an average price target of $10.22.
Marathon Patent Group Inc is an intellectual property (NASDAQ:MARA) company that serves patent owners ranging from individual inventors to Fortune 500 corporations. The Company provides its clients with IP-related services that help patent holders realize the monetary and strategic value of their inventions.
Thanks for the comments. This was a case of being too early to the game and having to remember long term investing can really pay off. The stock had low volume for months and traded around 1.75 forever. Finally there is decent volume and the move over a year is great but it took a lot of patience which many investors struggle with. Of course with the low share count this could really move and the prospects by year end look very very exciting.
I think in the long run it would have been a good match for both companies. Access to capital without major dilution for SPEX would have been a big plus. Who knows maybe some type of deal could emerge down the road. It does show you Marathon plans to be a big player in this space going forward.
Great job as always. I know a few weeks ago on your blog
http://bit.ly/1uGXQTc
you had a detailed investment report on Marathon. One of my friends said it was excellent and went through each portfolio and potential valuation. Keep up the good work.
Wow I did not know you could do that type of accounting. I have never seen anything like it and typically that is not a good thing. Thanks for pointing it out.
Looks like there is an I investors hub board for the stock.
He is also a big time investor in Marathon Patent Group which I know you are familar with. Here is a recent update I did on them.
http://seekingalpha.co...
I checked with a company representative and they said it was not taxable. Basically a 2-1 split. Here is an update I just released today on Marathon.
http://seekingalpha.co...
The problem with generic home run term is a 50 million settlement for Marathon is like a 500 million settlement for some of these other companies because of share count. So what would happen if marathon received a 500 million settlement?
Nice article. I have written several aticles on them and also multiple updates. The story just keeps improving. A year ago they had 5 portfolios and now they are approaching 20. The key is they are getting higher in quality and potential rewards. Erich Spangenberg is making sure this is going to be a huge success which of course he is very motivated to do since he is such a large shareholder.
Hey Hal,
On Marathon they get the best deals in the industry through IPNAV and Eric Spangenberg. By the time Marathon gets them they are way on their way to settlements so the risk is very low. Spangenberg does all the up front work and then sells them to Marathon. He does this so he maximizes his return on the investment since he is a very large shareholder in Marathon. So he gets paid for the IP and then reaps the benefits to the stock going up. Thats what makes this such a great investment. He is going to do everything in his power to increase shareholder value for all of us.
On SPDL they have a very viable platform. I am amazed someone has not come along to take them out. They would have made a great VC that raised $50M with private funds and then sold themselves for 10X that down the road. Being a public company they are limited in ways to raise capital. And like I said they were early to the game and the game is evolving quickly.
SPDL is still a leader in the space just perhaps a little early. Mobile payments are the future. Still think someone buys them for their technology as they will scale much better inside some very large platforms.
IP deal makers forum in NY. Doug Croxall, Eric Spangenberg starting Nov 6th and will be presenting to IP investors and institutional investors. Perfect time to present.
http://bit.ly/1tJymr9
Spangenberg owns well over 800K shares and probably over a million when you add all the wife, kids, foundations etc... What I see him doing is taking his patents and monetizing them in the highest way possible. Not only does he get paid for the IP but the stronger he makes Marathon the larger his investment becomes. His 1M shares will probably be worth over $50M in the future.
I wrote this article back in May and I think they are right on schedule.
http://seekingalpha.co...
Great to know and thank you for the response. Have you ever thought about rewarding people when they hit milestones of say 100, 500 or 1000 articles published? Are there stats on how many writers make it to 100? Thanks again.
Gp,
I agree completley with your thoughts. I have never felt right accepting money from SA and always am investing my own money in the investments I have pitched. What I will say if making it exclusive is that important to SA and if by doing that I have to get paid lets make a way to allow authors to donate 100% of all proceeds to a charity like the Red Cross. My only condition is at the top of each article it states that "this author does not receive compensation for this article and 100% of exclusive proceeds are donated to charity."
MG
I know I am out since I never just make it exclusive. Not sure why that plays into what kind of stock pick it is?

Spindle to Exhibit at Midwest Acquirers Association Conference July 16 - 17
Leading Mobile Commerce Provider Will Preview Its Yowza!! POS and Mobile Marketing Platform
Marketwired
Spindle Inc. July 7, 2014 8:30 AM
SCOTTSDALE, AZ--(Marketwired - Jul 7, 2014) - Spindle, Inc., (OTCQB: SPDL), a leading provider of mobile commerce solutions, announced it will participate at the Midwest Acquirers Association (MWAA) Conference, scheduled for July 16 and 17 at the Westin Lombard Yorktown Center in Lombard, Illinois. Spindle will be located at booth #UE63 throughout the exhibition.
Spindle will preview its Yowza!! Merchant suite of mobile commerce tools at the conference, including its Yowza!! Offers consumer-facing mobile marketing solution, the cloud-based Yowza!! POS, and Yowza!! Mobile POS solution. Yowza!!'s applications allow merchants to deliver promotions and coupons to personal mobile devices, empowering merchants to develop and maintain meaningful, long-term relationships with customers. In addition, the Yowza!! products help small businesses manage their operations while leveraging powerful POS capabilities.
"We are expanding our payment aggregation solutions by integrating Yowza!! mobile marketing applications with point-of-sale infrastructure to create more meaningful ways for merchants and customers to interact," said Bill Clark, chief executive officer at Spindle. "We look forward to demonstrating our solutions at the MWAA Conference, and illustrating how resellers can leverage our technology to increase their merchant sales and generate new revenues. Spindle is committed to be the driving force in continuing the development of convenient, secure and ubiquitous mobile commerce solutions that benefit all participants in the ecosystem."
The Midwest Acquirers Association is a growing community of companies in the banking and payments industry including ISOs (independent sales organizations), sales agents, MSPs (merchant service providers) and financial institutions within the Midwestern United States. The conference is designed to educate this community on the latest trends in payments, including innovative mobile commerce techniques. According to the MWAA, this year's event focuses on the rapidly changing payments market and how companies can adapt to new trends.
New presentation out. Opus launches this quarter instead Q4. Management always seems to exceed their commitments.
http://bit.ly/1lVkn8Z
I have been investing in the patent space for quite a while. I think I have owned them all at some point. VHC went on a wild ride that defied all expectations. Marathon has the same potential and if Marathon goes to trial with Apple speculation will run wild. Here is what could happen here. Get listing, coverage given these guys have contacts, eventually Russell addition. Top that with some high top end revenue growth and profitability and who knows where we go.
Redwood,
I wouldn't say I left anyone off intentionally. There are dozens of other companies that could have been mentioned. How much of the revenue DSS generates is from licensing their technology? My impression is they have a business that generates the revenues and the lawsuits are still to be decided? If I am wrong please correct me.
With Marathons small float what I have always found is if the biggest problem a stock has is that its hard to buy shares that is a good problem to have. Eventually if they can get an uplisting and the stock goes up they could do a 2-1 and get the share count up a bit. Right now they have tremendous earnings leverage which can be pretty exciting.
Have a great 4th.
MG
Spindle Reports Significant Increase in Mobile Commerce Consumer and Merchant Activity
Mon June 30, 2014 8:30 AM|Marketwire
SCOTTSDALE, AZ -- (Marketwired) -- 06/30/14 -- Spindle, Inc. (OTCQB:SPDL), a leading provider of mobile commerce solutions, reported that it is experiencing considerable growth in both the consumer- and merchant-facing aspects of its mobile commerce services. According to the company, the rate of new downloads of Spindle's Yowza!! mobile couponing application increased 81 percent in the second quarter, compared to first quarter when the company began investing resources in the Yowza!! line after the close of its acquisition on January 3, 2014. Spindle also noted that the Yowza!! app now presents in-store offers at some 120,000 merchant outlets around the country, representing an approximate 25 percent increase since the acquisition. Among the nationwide retailers working with Spindle include Big 5 Sporting Goods, Guitar Center, and the Intercontinental Hotel Group, which includes popular brands like Holiday Inn, Intercontinental and Crowne Plaza properties.
Yowza!! is a comprehensive, location-based mobile marketing platform that allows merchants to deliver coupons and offers directly to the consumer's mobile device.
"We are pleased with the growth of the Yowza!! platform on both the consumer and merchant sides of our business, particularly in this short span," said Bill Clark, chief executive officer at Spindle. "We believe these figures validate the growing appeal of mobile commerce, and demonstrate the viability of our approach in providing a value-added solution that serves the distinctive needs of merchants and consumers. We expect to see continued favorable results for Yowza!!, particularly as we look to roll out a number of new services -- such as in-store location-triggered offers that leverages our beaconing system, and integrated marketing and payment services through Yowza!! branded cloud-based point-of-sale technology."
According to Clark, Spindle is also completing a rebranding process aimed at further accelerating growth.
"When we acquired the Yowza!! property, we recognized that this brand already had a solid consumer base in the market. We made the decision to leverage this identity, and have now completed the first of several planned customer-facing initiatives, beginning with a refreshed Yowza!! logo and color scheme for the mobile apps and GetYowza.com portal. When combined with our traditional and viral marketing programs, we expect to see accelerated acquisition of both merchants and consumers to our platform. We also believe Spindle has reached the point where we should see our investment in our payments and Yowza!! platforms begin to generate a return on investment in the form of revenue growth, commencing in quarters three and four."
"Spindle continues to show tremendous strength in a rapidly evolving sector," explained Vikrant Gandhi, senior analyst with the market research firm Frost & Sullivan. "The fact that they added a significant number of consumers and merchants to the Yowza!! platform indicates that the company's strategy is sound and viable. As businesses become more aware of mobile commerce, Spindle will be in a strong position to convert this interest into revenue."
Another good example of money flowing into the space. The more customers you have using your service the faster the processing dollars will grow. I bet they are looking at the $20M investment being worth at least a few hundred million when they cash out in a few years.
Pritzker Group invests $20 million in Swipely
May 29, 2014
Pritzker Group Venture Capital is leading a $20 million investment in Swipely, a payments competitor to Square.
Providence, Rhode Island-based Swipely sells a payment-processing platform for merchants, particularly restaurants, and provides them data analysis about their customers. Swipely's customers are doing about $2 billion in annual transactions.
Chris Girgenti, managing partner of Pritzker Group Venture Capital, a fund run by J.B. and Tony Pritzker, is leading the deal.
Payments are a hot area as merchants look for cheaper payment-processing and more data about their customers than they've gotten from traditional point-of-sale systems and credit-card processing vendors.
Last year, Chicago-based payment processing-software company Braintree Inc. was sold to eBay Inc.'s PayPal division for $800 million. Groupon Inc. also provides payment-processing services to merchants and recently added a mobile-payments capability called G-nome.
Hal,
A new article just published today. There is a lot of M+A going on in this space right now because its not about revenues at the moment but who has the pieces to the mobile payment puzzle. Spindle is putting it all together and eventually that value will be reflected in the share price.
http://seekingalpha.co...
Roger,
Most companies that do a RS want the higher price so they can uplist on a bigger exchange. That is not the case with INO since they are already listed. It seems they want a higher price because they would rather be a $8 stock instead of a $2 stock. They should be more attractive to institutions at the higher price. Maybe they want to buy something with shares and figure 10M shares sounds better than 40M but in the end it is the same amount. As always the RS is a net wash and its all about market cap and if they increase shareholder value. Do you want to own a $2 stock or $8 stock? Of course some people will tell you its much easier for the $2 stock to go to $8 than the $8 stock to go to $32 but reality is its the same market cap move.
MG
CT,
Good point. Of course where most development stage companies flounder is trying to get their product into production so they can sell it. Having a partner like this is a huge step to generating revenues and many of the markets they are looking at will be high volume if they happen.
MG
I think he missed a lot of the point of the article. Ebay would be a great buy if they unlocked the true value of PayPal by spinning it off. Comparable valuation would say that is worth more than Ebay by itself. When that does not happen then true pure plays like Spindle are the way to play what will become the fastest growing mobile business going forward.
Look at a company like COUP which just went public and has a $2B valuation. They could fold Spindle right in for shares and it would be a great combination. Someone will scoop them up.