Daily Brief TMT/Internet: Fuji Soft Inc, Shinko Electric Industries, Horizon Robotics, International Games System, nCino, Iridium Communications, Marathon Digital Holdings, Ate Energy International Co, Wix.Com Ltd, Haivision Systems and more

• On 11-Oct, Bain submitted a binding proposal for Fuji Soft Inc (9749 JP). On 15-Oct, FSI acknowledged, but questioned the Nozawa family commitment.  Founder Nozawa wrote letters the 17th.
• O 18-Oct, FSI reiterated support for the KKR First Tender in a late night drop. It included fine print, but no media coverage. Today, FSI filed a Target Opinion Amendment.
• That filing included yet more fine print not in the public filing Friday. And KKR extended. The new fine print is nuanced. But worth reading.

• Over the last few days, Shinko Electric Industries (6967 JP) shares have dipped lower than the previous standard trading range. 
• I expect this weakness is related to investors in other deals deciding to sell this deal too. I believe it is not related to Shinko specifically.
• For that, while gap risk remains somewhat high, I still see break risk as low and see this as a great opportunity to buy the dip.

• Horizon Robotics (9660 HK), a provider of autonomous driving products and services, is seeking to raise up to US$696 million through a HKEx IPO.
• We previously discussed the IPO in Horizon Robotics (9660 HK) IPO: The Bull Case and Horizon Robotics (9660 HK) IPO: The Bear Case. 
• Our valuation analysis suggests that Horizon is unattractively valued at the IPO price range. Therefore, we would pass on the IPO.

• International Games System (3293 TT) could be added to a global index at the end of November and there will be a lot of buying in the stock.
• The big rally in the stock has led to International Games System (3293 TT) trading expensive to its regional peers.
• There has been an increase in cumulative excess volume over the last month. But there could still be more to go over the next week.

• nCino has posted its financial results for the second quarter of fiscal year 2025, delivering performance that exceeded initial forecasts in several key areas, including subscription revenues and non-GAAP operating income.
• The company has observed a notable improvement in the financial services industry in the United States compared to the previous year.
• nCino’s growth in the U.S. has been robust, particularly within its existing customer base which seems keen on leveraging the company’s expanded platform capabilities.

• IRDM started 2024 with changes to its reporting metrics and that trend continued when with Q3. 
• When IRDM reported third quarter 2024 results, the Company disclosed it would experience a decline in reported IOT subscriber metrics.   
• The change subscriber count would not impact IRDM’s revenue due to contract pricing. It could create negative headwind in 2025

• Marathon Holdings’s second quarter of 2024 brought both the continuation of bold initiatives and a renewal of challenges marked by increased operational expenses and pressure on profitability.
• The company underlined its commitment to expanding operations and scaling infrastructure, leading to notable achievements such as strategic acquisitions and technological advancements.
• Noteworthy is the growth in the company’s hash rate and the acquisition of the Garden City data center, which collectively aim to steer Marathon Holdings towards reaching an operational hash rate of 50 exahash by year-end.

• Southern Taiwan Science Park’s output value is projected to hit a new high in 2024, indicating growth in the technology sector of Taiwan.
• Taiwan is looking for global solutions to tackle its green energy deficit, highlighting the government’s efforts to promote renewable energy sources.
• Chinese security measures impact tech giants like Micron, Intel, and Tesla, while Samsung resolves labor dispute in India and adjusts HBM production target.

• Wix, the leading platform enabling users and businesses to create and manage online presence, has reported its second quarter results for the financial year 2024, showcasing considerable financial and strategic achievements, along with disclosing its enhanced focus on AI and commerce capabilities to bolster growth.
• The company’s revenue growth stood at 12%, hitting $436 million, and bookings observed a 15% year-over-year increase, reaching $458 million.
• This bookings growth is an acceleration from the 10% seen in Q1, indicating a strengthening demand for Wix’s offerings.

• Haivision Systems Inc. is a publicly traded company with a current stock price of CAD 4.20, but analysts believe it is worth at least CAD 7.60
• The company has seen strong sales growth and high gross margins in recent years, and is debt-free
• Haivision competes with larger companies like Evertz and EVS Broadcast Equipment in the video solutions market for live broadcasts, making it an attractive investment opportunity for smaller capital pools.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.