Perspective on Technology – August 11, 2020 Lightspeed’s ($LSPD.TO) share price is up 16% (TSX Composite up 3%) since Tuesday, July 28. Fiscal Q1 (June 2020) revenue and headline EBITDA was better than we expected, but there are clear data points that have us continuing to believe $LSPD.TO does not deserve to be trading at a $SHOP-like SaaS multiple. Record Locations Yet Record Low Deferred Revenue “In the three months ended June 30, 2020, we engaged in several customer-focused initiatives, such as subscription discounts and deferred payment arrangements, aimed at supporting our customers during the COVID-19 Pandemic.” We understand the mix towards monthly/annual payment plans vs. multi-year, but that […]
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We have published our updated view on Lightspeed (LSPD.TO – SELL). A change in their product bundling, free products, lowered pricing and go to market strategy are helping to reduce churn from restaurant and retail store shutdowns in the short-term. The most recent quarter saw a larger than expected impact from Lightspeed Payments driven by bundling Payments with their basic plans in the U.S. However, we believe the company provided some misleading statements during their conference call. We believe real, organic gross margin dollar growth excluding Payments (which is benefiting from having just started over a year ago and being […]
After publishing our initiation of Docebo (DCBO.TO) on November 29th and releasing it to Perspectec’s Institutional Equity Research subscribers, we have waited nearly three months to push the share price higher in order to give our subscribers time to purchase this relatively low liquidity stock. As the months passed and volumes haven fallen off, we felt the time was right to begin marketing our research. On the afternoon of Tuesday, February 11, 2020, we emailed a partially redacted version of our Docebo research to a number of Canadian small-cap portfolio managers (a redacted image of an email is shown on […]