Last time I looked, Magic had a very nice, Windows only, product positioned for small to medium sized help desks and tech support orgs. By small to medium, I am roughly refering to under 50 seats - basically, RMDY territory.
I have not seen a company with a Windows only strategy break out. RMDY, VNTV, CLFY, SCOP, ATEA and SWRT each have a multi-platform, multi-DBMS strategy. Doesn't mean it can't be done, I'm just pointing this out.
Growth rates are often deceiving. If I had a company that did $10,000 in revenue in 1995, and then did $200,000 in 1996, it would have a growth rate of 2,000%. That would be incredible, except on an absolute basis, the numbers are small. My recollection is that Magic is around a $10 MM company.
The low end help desk market is getting very crowded. In a recent trade publication (I think it was Service News) I noticed maybe 6 or 8 similarly situated companies - under $10 MM, with essentially the same message and technology. RMDY has the big lead - distribution, market awareness, infrastructure, R&D momentum, etc. I would want to look at any other story in this space (small to medium help desks) very, very closely to understand why it was different. I wold also look at it if I could by the stock for super cheap, where there was a good risk/reward profile.
That said, I think Magic has a nice product for their space. I have recommended it twice (once to a big company, once to a small one) and they both were satisfied, but that was at least a year ago.
Did Magic go public? If not, why is it being discussed? Is it filing for an IPO? |
