Hi Brian – great question. You're right that the share price has underperformed since the IPO (at NOK 34.50 in late 2020). That reflects a mix of inconsistent profitability, negative cash flow at times, and the “lumpy” nature of project-based revenue. Even with strong top-line growth – from 217 MNOK in 2020 to 624 LTM – the financial profile has been uneven, and limited analyst coverage hasn’t helped visibility.
That said, Cyviz is actively shifting toward a recurring revenue model and aiming for 25% EBITDA margins by 2030. If they can deliver more stable margins and cash generation, the current valuation could start to look very compelling.
As for M&A, management has confirmed on several occasions that they’ve received interest from potential suitors. With NATO-grade certifications, a scalable software platform, and growing exposure to secure, high-value environments, Cyviz could be attractive to e.g.:
Hi,
The stock’s performance over the last 5 years is pretty dreadful.
But the company looks pretty interesting.
What is the chance for a takeover or trade sale? And who might the suitors be?
Thanks
Brian
Hi Brian – great question. You're right that the share price has underperformed since the IPO (at NOK 34.50 in late 2020). That reflects a mix of inconsistent profitability, negative cash flow at times, and the “lumpy” nature of project-based revenue. Even with strong top-line growth – from 217 MNOK in 2020 to 624 LTM – the financial profile has been uneven, and limited analyst coverage hasn’t helped visibility.
That said, Cyviz is actively shifting toward a recurring revenue model and aiming for 25% EBITDA margins by 2030. If they can deliver more stable margins and cash generation, the current valuation could start to look very compelling.
As for M&A, management has confirmed on several occasions that they’ve received interest from potential suitors. With NATO-grade certifications, a scalable software platform, and growing exposure to secure, high-value environments, Cyviz could be attractive to e.g.:
- Defence contractors seeking to integrate advanced C4ISR capabilities (e.g. BAE Systems, Lockheed Martin)
- AV/IT integrators (Barco, Crestron)
- Private equity focused on secure infrastructure (e.g. Arlington Capital)