On the heels of QYOU Media’s (TSXV: QYOU/OTCQB: QYOUF/FRA: 0QY) announcement of a major contract with iflix, Clarus Securities Technology Analyst Joe MacKay noted in an update report that “we believe that QYOU is well positioned to meet our 2018 revenue estimate of $15.4 million.” Mr. MacKay has forecasted 2017 revenues of more than $7 million.
His price target is a $1.10 with the stock currently trading in the $0.35 to $0.40 range.
Mr. MacKay comments that with the iflix deal as well as the launch of QYOU India with Tata Sky in the “fast growing India wireless market,” QYOU has grown its potential audience reach to “over 1 billion.”
His update looks at recent QYOU wins:
- “Malaysia based iflix launched in May 2015 and has expanded its Netflix like streaming service to 25 emerging markets and is estimated to have ~6.5MM subscribers. The bulk of its subscribers are based in Asia and ~500k subscribers in the Middle East with operations in five countries in Africa launching in June 2017. Iflix’s customers’ viewing habits appear to fit well with QYOU’s millennial focus …”
- “On the back of the deal with Tata Sky, we believe that there is significant opportunity for QYOU to distribute its content to wireless operators in India. India has 1.17B wireless subscribers with 332MM subscribers being broadband compared to less the 100MM a year ago.”
- “QYOU went live in Canada with its eSports program Heads Up Daily (HUD) in January on the Super Channel’s GINX eSports, a 24-hour gaming channel and will produce 300 hours of eSports programming. While the show is still young, we believe that given the current popularity of the eSports space globally, there exists multiple opportunities to license the show internationally …”
QYOU is a global media company that curates and packages premium ‘best-of-the-web’ video for multi-screen distribution with its content now carried in over 35 countries. It was founded and created by industry veterans from Lionsgate Entertainment and MTV.
The update has been made available to client’s of Clarus Securities and is not available to the general public.