NICE Paying Quite The Price For 'Cloudification' Via inContact
inContact Should Get A Lift From The Rising Tide
Darspal S Mann
Darspal S Mann
Thu, Aug. 4, 5:00 PM
Wed, May 18, 12:46 PM
Wed, May 18, 9:15 AM
Wed, May 18, 8:01 AM
- Israeli software provider Nice Systems (NASDAQ:NICE) agrees to acquire U.S.-based inContact (NASDAQ:SAAS), a maker of cloud software for call centers, for ~$940M.
- Nice will pay $14/share in cash, a 55% premium to yesterday's closing price, and plans to finance the deal with cash on hand plus debt of up to $475M.
- Analysts say the acquisition will help Nice, which currently focuses on very large financial companies, to expand into the mid-market and expand its product range.
- SAAS +53.7% premarket, NICE +2.3%.
Thu, May 5, 4:57 PM
Wed, May 4, 5:35 PM
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Tue, Feb. 16, 4:26 PM
- InContact (SAAS +7.5%) is up 3.4% after hours after posting record results for its fourth quarter and guiding above analyst expectations for 2016 EPS.
- EBITDA of $5.8M nearly quadrupled from the prior year and beat an expected $3.83M. Gross margin for the software segment bumped up to 60% from 59%; on a non-GAAP basis, it was 64% (up from a prior 63%). Network connectivity gross margin was 40%, up from a previous 36%.
- Revenue by segment: Software, $40.5M (up 33.6%); Network connectivity, $21M (up 10%). About 97% of network connectivity revenues were derived from contracts with customers using the company's contact center software.
- The company closed 144 total contracts in the quarter (93 new logo customers, 51 expansion deals).
- For 2016, it's expecting software revenues of $177M-$183M (growth of 23-27%) and total revenues of $257M-$263M, vs. a consensus of $258.4M. It's forecasting a net loss (non-GAAP) of $0.06 to $0.09 per share vs. expectations for a loss of $0.33/share.
- Conference call to come at 4:30 p.m. ET.
Tue, Feb. 16, 4:12 PM
- inContact (NASDAQ:SAAS): Q4 EPS of -$0.01 beats by $0.08.
- Revenue of $61.5M (+24.4% Y/Y) beats by $2.71M.
- Shares +3.4%.
Mon, Feb. 15, 5:35 PM
Mon, Feb. 8, 2:37 PM
- Many tech stocks are seeing 6%+ losses as investors flee to safety yet again. The Nasdaq is down 3.4%, and the S&P 2.7%.
- As was the case on Friday following Tableau and LinkedIn's disappointing guidance, a slew of enterprise tech stocks are seeing big losses, with cloud software and security tech names well-represented on the casualty list.
- Also: Solar stocks are having another brutal day (TAN -6.7%) as energy stocks get routed amid fears Chesapeake Energy is close to bankruptcy. WTI crude oil is once more near $30/barrel.
- Enterprise software decliners: Adobe (ADBE -9.6%), Paylocity (PCTY -19.1%), Salesforce (CRM -9.9%), Workday (WDAY -12%), Guidewire (GWRE -12.5%), ServiceNow (NOW -11.5%), Zendesk (ZEN -13.8%), Paycom (PAYC -13.4%), Marin Software (MRIN -10.3%), Castlight (CSLT -8.4%), Cornerstone OnDemand (CSOD -12.1%), Atlassian (TEAM -13.2%), inContact (SAAS -9.6%), and Bazaarvoice (BV -14.5%).
- Enterprise security decliners: Palo Alto Networks (PANW -12.2%), FireEye (FEYE -9.8%), CyberArk (CYBR -11.5%), Proofpoint (PFPT -12.7%), Qualys (QLYS -8.9%), Imperva (IMPV -9.7%), Rapid7 (RPD -9.4%), and Barracuda (CUDA -8.4%).
- Solar decliners: SunEdison (SUNE -11.3%), SunPower (SPWR -8.8%), JinkoSolar (JKS -7.6%), SolarEdge (SEDG -7.9%), Yingli (YGE -7.1%), TerraForm Power (TERP -10.7%), and TerraForm Global (GLBL -9.2%).
- Other major decliners: Micron (MU -9.1%), Western Digital (WDC -10.5%), Arista (ANET -10.9%), Universal Display (OLED -10.6%), Rackspace (RAX -11.3%), Fitbit (FIT -8.7%), Nimble Storage (NMBL -11.3%), Sierra Wireless (SWIR -9.9%), Rocket Fuel (FUEL -9.8%), Knowles (KN -9%), Mitel (MITL -8.9%), and Alarm.com (ALRM -8.9%).
- Previously covered: Yelp, Cognizant, Tableau, Globant, Ambarella, European tech stocks
Fri, Feb. 5, 3:59 PM
- Add Red Hat (RHT -8.1%), Autodesk (ADSK -6.9%), and Teradata (TDC -8%) to the list of enterprise tech firms nosediving following weak Q1/2016 guidance from business intelligence/data visualization software firm Tableau and professional social networking/online jobs leader LinkedIn. The Nasdaq is down 3.4%, and the S&P 2%, in the wake of this morning's jobs report.
- Other big decliners include Varonis (VRNS -13.4%), Gigamon (GIMO -9.7%), Pegasystems (PEGA -10.3%), SGI (SGI -7.5%), LogMeIn (LOGM -8.6%), inContact (SAAS -10.8%), Attunity (ATTU -14.4%), Textura (TXTR -6.8%), and Tableau rival MicroStrategy (MSTR -6.6%). A slew of other enterprise names were previously covered here - the group includes many cloud software and security tech firms.
- Teradata is just a day removed from rallying in the wake of a Q4 sales beat and healthy 2016 guidance.
Tue, Feb. 2, 11:30 AM
- Contact center specialist inContact (SAAS +2.3%) has named Randy Littleson its chief marketing officer.
- Littleson has held executive roles with firms including Kinaxis, Interface Software, InstallShield Software, and Spyglass. Most recently he was with Flexera Software, responsible for marketing, product management and corporate development.
- At inContact, he'll cover direction, strategy and overall management of the firm's marketing efforts.
- The company recently approved raises for its key C-suite executives.
- Previously: InContact signs off on raises for key execs (Jan. 26 2016)
Tue, Jan. 26, 6:21 PM
- InContact (NASDAQ:SAAS) says its compensation committee has approved raises for its executives.
- CEO Paul Jarman will receive base pay of $375K, with a performance-based bonus of $225K; CFO Gregory Ayers is set to receive $315K, with a bonus of $130K; CTO Julian Critchfield is set for a base of $325K, with a bonus of $130K; and William Robinson, executive VP of sales, is set for base pay of $280K.
- IN addition, the execs received stock options at an exercise price of $8.36 (125,649 for Jarman, 69,107 each for Ayers and Robinson, and 62,824 for Critchfield) and restricted stock units at a grant date price of $8.36 (59,809 for Jarman, 32,895 each for Ayers and Robinson, and 29,904 for Critchfield).
- Shares closed tdoay up 0.2% to $8.44.
- Meanwhile, a 13G filing today shows that BlackRock has taken an 8.5% stake in the company.
Dec. 7, 2015, 10:29 AM
- InContact (NASDAQ:SAAS) is bucking a down market this morning, +0.4%, as Summit Research launches coverage at Buy.
- Analyst Jonathan Kees has set a price target of $12; shares closed yesterday at $9.70 and are currently at $9.74, implying 23% upside.
- "Though it may be considered a speculative investment, SAAS is a market leader in the high growth contact-center-as-a-service cloud market and should continue to exhibit above market growth due to share gains, strong partnerships, increased deal wins, strong integration with third-party applications, and technology leads," he writes.
- "Our concerns revolve around possible disruptions towards profitability and cash generation, increasing sales costs, and greater competition."
Oct. 30, 2015, 12:45 PM
Oct. 29, 2015, 5:17 PM
- InContact (SAAS -2.4%) has jumped 20.2% in postmarket action after its Q3 report showed beats on top and bottom lines and boosted full-year guidance.
- Software revenues were a strength and margins grew substantially as well: Operating margin improved by 50% and gross margin overall rose to 52% from 47%. Software gross margin rose to 60% vs. a year-ago 54%.
- The company posted a net loss of $5.7M, narrower than the previous year's loss of $6.7M. EBITDA of $4M quadrupled from last year and beat an expected $2.9M.
- Revenue by segment: Software, $36.7M (up 39.7%); Network connectivity, $19.4M (up 8.2%).
- For full 2016, the company is guiding to total revenues of $254M-$262M (above a consensus of $250M) and software revenues of $175M-$182M.