Brn - brainchip holdings

[Baa_Baa]

Annoying when companies do a Cap raise at 6 cents below market price, sort of guarantees the SP will drop at least to the cap raise at .18. Whether this company is ever profitable from their acquisitions, let alone whether their 'hardware only' AI chip succeeds, remains to be seen. Investors beware, this is a patient traders stock and has been for ages. Maybe one day there will be the ultimate reward, but year after year it lumbers along sucking in the punters money to prop up the story and the promises.

[Joshuatree]

Demonstration of BrainChip Studio Interoperability 2 pages 185.2KB

Hows your conviction BB and other holders, is BRN ticking boxes and getting traction saleswise? S/P tracking down again. Been watching for a while.

[Aotea]

Demonstration of BrainChip Studio Interoperability 2 pages 185.2KB

Hows your conviction BB and other holders, is BRN ticking boxes and getting traction saleswise? S/P tracking down again. Been watching for a while.

brainchip is a keeper..this one has the potential to surprise. it could go dog, or surpass a dollar anytime on news. am holding tight

[moka]

Demonstration of BrainChip Studio Interoperability 2 pages 185.2KB

Hows your conviction BB and other holders, is BRN ticking boxes and getting traction saleswise? S/P tracking down again. Been watching for a while.

My conviction is very strong. BRN is ticking boxes and getting traction salewise. I listened to the April and May webinars.
I didn’t think it would drop down to 11.5c, what an opportunity to accumulate. I am buying on the way down. It is being pushed down so the smart money can accumulate I reckon because things have never looked rosier for BRN, after years of waiting.

Lou (CEO) said profitability expected in late 2018 with US$2.5m in revenue for the quarter. Cash burn is US$2.1m/ quarter. March quarter revenue was US$500K, of which 40% came from Gaming Partners International (GPI) (part of $500K payment for licence fees), and the rest from numerous customers and partners in US and France.
Lou said GPI agreement a tremendous win for BRN. Commercial development is expected later in 2018. 25% of all GPI revenue derived from the sale of the Developed Technology to BRN. 5 year revenue sharing agreement. Potential revenue US$5 - $US15m annually.

Quantum Corporation, San Jose, leading supplier of large-scale storage – Lou knows them from previous work. Storage is a fundamental component in civil surveillance, public safety, IoT, big data etc. Storage market opportunity represents potential revenue for BRN estimated in the range US$20m to $US30m beginning in late 2018.
They expect generate some revenue in the second quarter from Lockport- schools and public safety.

Lou said BRN is one of the most exciting technologies he has been associated with. He wasn’t going to get into technology again. He will stay as long as the company is independent. The goal is that it is taken over. He was in Venture Capital in the US previously and said that BRN is very capital efficient. Total capital raising A$40m less fees $38/39m = US$29m. Capital burn of US$15m (as at 31/12/17) to get where they are is great, not many US technology companies can match that. Had enough cash for 2 years at 31/12/17 @ $700K/month.

Trade shows and advertising are generating hundreds of leads, and they prioritise those most likely to succeed. Sales people only get paid when they deliver. Sales pipeline - 52 qualified opportunities with a lifetime value of US$336m. 1 patent granted, 5 pending, hired chief IP counsel for IBM & Intel to put fences around intellectual property. So all looking good as far as I am concerned.

[moka]

OMG.About the same as my pension..
So market cap is 35,740 times revenue.
Well done BRN, it looks as though you have set a world record.

I doubt it is a world record. There are lots of similar tech companies in the US with little or no revenue and huge billion dollar market caps.
The founder Peter van der Made could have done this in the US where institutions would have invested in several capital raises to fund the years of development. But he wanted to retain a large personal stake in the company and he has done that by listing on the ASX, luckily for those of us who own shares.
Revenue doesn’t matter at this stage because the company has spent years (listed 2015, first patent 2008) pouring capital into building up assets – research, technology, intellectual property, about a dozen patents. And now they have a product ready to be commercialised, although it could be another year or two before revenue starts flowing.
When US institutions see how cheap these shares are compared to comparable US tech companies they are likely to buy in, and push the price up.
It is quite likely that the company will be bought out by one of the big players for maybe $20 - $40bn depending on the stage of development.

I am not trying to convince you to buy, but just to point out that there is a different way of valuing tech companies like this. It is not like XRO where they had a product to sell when they listed.

Posted in 2018

CEO Louis said BRN is one of the most exciting technologies he has been associated with. He wasn’t going to get into technology again. He will stay as long as the company is independent. The goal is that it is taken over. He was in Venture Capital in the US previously and said that BRN is very capital efficient. Total capital raising A$40m less fees $38/39m = US$29m. Capital burn of US$15m (as at 31/12/17) to get where they are is great, not many US technology companies can match that. Had enough cash for 2 years at 31/12/17 @ $700K/month.

[Baa_Baa]

brainchip is a keeper..this one has the potential to surprise. it could go dog, or surpass a dollar anytime on news. am holding tight

Not a bad time to re-accumulate a few if as I suspect the bottom is nigh pending next 'exciting' announcement then flick out as close to the top of the spike that follows. Rinse and repeat. Not much point in holding a dead money/losing position imho, the chart will say hold when the time comes, which has been a long time coming.

[Joshuatree]

Excellent update many thanks moka. i have so many stocks on my watch list i lose track of them. Some Investors fatigued and losing confidence and a sense over over promising and under delivering and competition from the likes of Intel creating uncertainty?. S/P appears to have started its down wards move since the DEC Qrtly.

[showstring]

Enjoyed this read:
https://venturebeat.com/2018/06/04/t...ll-on-its-way/

tl;dr: current 'deep learning' technologies are a dead-end for general AI, and this is something Peter Van Der Made (Brainchip inventor) has been stating in presentations for years
very bullish on Brainchip's tech, just hoping they continue to be successful in commercializing it

[moka]

Interview with CEO Lou today.

https://www.finnewsnetwork.com.au/archives/finance_news_network169795.html

“Louis DiNardo: Investors in late 2018 and into 2019 will see and should enjoy the commercialisation of 10 years’ worth of effort on the part of our founder Peter van der Made. Again, we introduced our products in the later part of 2017. Sales cycle is such that we're at the point where we've got a nice sales funnel. The back half of 2018 should be a very successful year for us and 2019 will continue that success but also introduce the Akida product, which opens up a much wider opportunity for us.”

[moka]

Yesterday’s news.

https://simplywall.st/stocks/au/software/asx-brn/brainchip-holdings-shares/news/brainchip-holdings-limited-asxbrn-are-analysts-optimistic/

“BRN is bordering on breakeven, according to Software analysts. They anticipate the company to incur a final loss in 2018, before generating positive profits of AU$6.70m in 2019. BRN is therefore projected to breakeven around a few months from now. How fast will BRN have to grow each year in order to reach the breakeven point by 2019? Working backwards from analyst estimates, it turns out that they expect the company to grow 56.10% year-on-year, on average, which is rather optimistic! Should the business grow at a slower rate, it will become profitable at a later date than expected.”