- Support.com stock trades near cash value, and is FCF-positive – so the potential downside from here is minimal, barring a major catastrophe.
- A new visionary CEO from Citrix and an award-winning Nexus SaaS product can easily position the company as the leader in tech support in the Internet of Things.
- The stock is ripe for activist investor involvement due to a tired old board and $74M in cash, with no debt or share buyback program in place.
- While the retail investor is not paying attention to this stock, the institutions have been adding, as the new positions by volume to be sold out in Q4 are over 15:1.
With an EV of only $11M and $74M in cash and no debt, the market is saying that the Support.com (NASDAQ:SPRT) business is virtually worthless. I simply don’t agree with this assessment. Perhaps in a worst-case scenario a few years down the road, if every current opportunity fails to materialize and the company loses all of its customers, the business could be deemed worthless. But as it stands right now, there should be plenty of optimism about the future prospects of this company. Although, you would never know it, as Support.com does a terrible job of selling its story to the street. It barely has any analyst coverage, and this is the only company that I’ve found where I can’t even sign up for investor email alerts on its website.
Read my full report HERE only at Seeking Alpha.