Israel has its own version of Silicon Valley that is growing faster than the actual Silicon Valley, but antisemitic investors refuse to invest into Zedge (ZDGE) believing that Israel has no idea how to create a successful AI app. Despite the fact that ZDGE's Zedge app has 600 million+ global installations and is one of the most successful mobile apps in world history, ZDGE at $2.10 per share is being valued at a market cap of only $30.32 million, which is barely above its $15.78 million net cash position.
ZDGE's actual business is being valued at only $14.54 million (market cap - net cash = enterprise value) when it has revenue of $27.98 million.
ZDGE has an enterprise value of only 0.52X revenue, which is a worse valuation multiple than hundreds of scam companies that merged into SPACs.
The crazy thing is... from 2017 through 2019 after ZDGE first went public it averaged an enterprise value of 2X revenue when its only business was the Zedge app and it had declining revenue with negative cash flow. Today, ZDGE has positive cash flow and in addition to the Zedge app the company owns GuruShots, Emojipedia, and the soon to launch AI Art Master. ZDGE has been investing big into the development of new platforms that will allow for very rapid revenue growth in the years ahead, yet it has its lowest valuation multiple in history and is being valued at a lower multiple than hundreds of scam SPAC deals that are burning through their cash and are about to go bankrupt.
ZDGE is in a 1,000X better position today than it was in 2017-2019! ZDGE should be valued at an enterprise value of 3-5X revenue not 0.52X revenue!
We have used AI Art Master before just like NIA's President went to Syria to see Genie Energy (GNE)'s oil projects. The early version that we tested was without a doubt the most addictive game we have ever played on any mobile device. Maybe you think this is a bad thing that children won't be able to focus on learning in class if they are playing AI Art Master all day long... but if you put their college fund into ZDGE at these prices before the launch of AI Art Master they won't have to ever go to college or get a job, period.
But maybe you think the Zedge app which is installed on 600 million+ mobile devices worldwide + GuruShots + Emojipedia + the soon to launch AI Art Master is worth less than $14.54 million?
Do you know of any apps with 600 million installations that are worth only $10 million?
We don't but if you do... it would still imply a valuation of only $4.54 million for GuruShots + Emojipedia + the soon to launch AI Art Master!
It says here that ZDGE acquired GuruShots for $35 million (click here to see).
Maybe they severely overpaid for GuruShots and it is only worth $4.54 million?
Then what about Emojipedia? If you copy and paste an emoji into Google to see its meaning it immediately brings up Emojipedia!
Do you really believe Emojipedia is worth ZERO!?!?
AI Art Master will by far be ZDGE's #1 biggest app of all time but even if you think we are lying (we have no reason to lie about it) what exactly is the risk here at $2.10 per share?????
The only reason for ZDGE's low valuation that makes any sense is that there are many antisemitic investors out there!
Finally, investors are beginning to buy Genie Energy (GNE) in a show of support for Israel! ZDGE is backed by exactly the same people as GNE!
Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. This message is not a solicitation or recommendation to buy, sell, or hold securities. This message is meant for informational and educational purposes only and does not provide investment advice.
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