W) OTGS quick and loose
Rated a WATCH
A provider of online data storage management and data access software. Software enables enterprises to move, store, manage and access data quickly and efficiently over a variety of network architectures, including the Web and storage area networks. OTG Software, Inc. is a provider of online data storage management and data access solutions. OTG's products help companies move, store, manage and access data quickly and efficiently over a variety of network architectures, including the Web and storage area networks (SANs). Through its application-centric product suite, XtenderSolutions, OTG offers a complete business, Web, and e-commerce solution that provides robust functionality across every industry. By managing data applications and data movement across the network and enterprise, XtenderSolutions provides a virtual infinite disk where data access and connectivity are constants. Headquartered in Bethesda, Maryland, OTG sells its products worldwide through a distribution channel of 271 domestic and international VARs, resellers and systems integrators
EPS (0.02) to 0.02 per briefing
Rev 8.3 to 9.6M Jun00 per daily stocks
Trending downward since May. Low in April collapse
52-Week Low on 14-Apr-2000 $13.00
Recent Price $21.75
52-Week High on 10-Mar-2000 $61.437
Daily Volume (3-month avg) 72.3K
Daily Volume (10-day avg) 49.0K
Market Capitalization $560.4M
Shares Outstanding 25.8M
Float 5.00M
Price/Book (mrq) 7.44
Price/Earnings N/A
Price/Sales (ttm) 14.87
Debt/Equity (mrq) 0.00
Total Cash (mrq) $68.2M
Short Interest As of 8-Aug-2000
Shares Short 108.0K
Percent of Float 2.2%
Eps est nelsons Curr Yr .09 Next Yr .16
0.03 this q est, and 0.04 est for Dec00
caught analysts off guard with strong quarter and profitability
05-Apr-00 12:00 -- 13:00 ET
OTG Software (OTGS) 32 -3 1/2: -- Update -- CSFB initiates coverage with a BUY and with a price target of $55. Brokerage firm initiating coverage participated in underwriting the recent IPO.
05-Apr-00 10:00 -- 11:00 ET
OTG Software (OTGS) 30 1/4 -5 1/4: Friedman Billings initiates coverage with a BUY and a price target of $55. Brokerage firm initiating coverage participated in underwriting the recent IPO.
09-Mar-00 AFTER THE CLOSE
IPO Pricings : HomeGrocer.com (HOMG) 22 mln shares at $12, high end of range, DLJ/Mrgn Stnly Dn Wttr as lead; OTG Software (OTGS) 5 mln shares at $19, well above range, CSFB as lead.
72% annual rev growth rate per briefing
BETHESDA, Md., Jul 25, 2000 /PRNewswire via COMTEX/ -- OTG Software, Inc. OTGS, a provider of online data storage and access solutions, today announced net income and record revenues for the quarter ended June 30, 2000.
Revenues for the quarter rose to $9.6 million, representing a 73% increase from revenues of $5.6 million in the second quarter of 1999. Sequentially, second quarter revenues increased approximately $1.3 million, or 16% from the first quarter of 2000. Software license revenues for the second quarter 2000 advanced to $7 million, representing an increase of 92%, compared to $3.6 million in the second quarter of 1999. Revenues from software licenses increased 9% from software license revenues of $6.4 million in the first 2000 quarter. Further, revenues from services increased 36% to $2.6 million, compared to $1.9 million in the comparable 1999 quarter. Revenues from services increased 40% from $1.9 million in the first quarter of 2000.
Net income in the second quarter totaled $450,000, or $0.02 per share on both a basic and diluted basis, representing an increase of 148% when compared to a net loss of $934,000 or a loss of ($0.06) per share on a basic and diluted basis during the same period in 1999. Net income rose 226% from a net loss of $357,000, or a loss of ($0.02) per share on both a basic and diluted basis in the first quarter of 2000.
Excluding one time write-off and amortization expenses associated with the April 2000 acquisition of xVault, operating income for the second quarter increased 137% to $157,000 from an operating loss of $422,000 in the second quarter of 1999, and 191% from an operating profit of $54,000 in the first quarter of 2000, and net income for the second quarter increased 229% to $1.2 million from a net loss of $934,000 in the second quarter of 1999, and 439% from a net loss of $357,000 in the first quarter of 2000.
For the six months ended June 30, 2000, OTG's revenues increased 63% to $17.9 million from $11 million in the comparable period of 1999. Software license revenues rose to $13.4 million, representing a 79% increase in the first half of 2000, from $7.5 million a year ago. Services revenue increased 27% to $4.5 million for the first six months of 2000 from $3.5 million in 1999. For the six months ended June 30, 2000, OTG Software's net income, including one time write-off and amortization expenses associated with the April 2000 acquisition of xVault and stock-based compensation, was $93,000 or break-even on a per diluted share basis versus a loss of $1.3 million or ($0.08) per diluted share in the same period of 1999.
"We are extremely pleased with our strong financial and operating results which validate our ability to execute OTG's business plan and allowed us to deliver net income one quarter earlier than the analyst consensus," said Richard Kay, Chairman and Chief Executive Officer of OTG Software. "Demand for our DiskXtender(TM) storage solutions remains strong, and we are proud of the recent launch in June of an exciting new product called EmailXtender(TM), that we believe will have broad market appeal and will make OTG a leader in e-mail management. We also launched on schedule this past quarter OnlineStor.com(TM), a new web-hosted storage solution for customers who prefer to outsource their storage and data management systems. With these new additions to our core technology, OTG has extended its management solutions for the data explosion that is driving the demand for data storage and access."
In March 2000, OTG Software successfully completed an initial public offering of five million shares of common stock, raising $95 million in net proceeds. In April 2000, OTG acquired xVault, a provider of CD-based e-mail management products. As of June 30, 2000, the Company had cash and cash equivalents of $68.2 million, after generating cash from operations of more than $700,000 for the second quarter of 2000. The Company used some of the net proceeds of the offering to retire substantially all of its long-term debt.
Summary
A falling knife. IPO price atr $19. Last support is April low. Not sure why no one wants this. Low volume and insider lockup expiration may be it. Have to watch it everyday for the buy signal.
Jack |
