Breaking Data Corp (BKD.V)

They do messaging for mobile applications. Thinks there is a pretty good opportunity. According to the analyst that covers them, they are expected to lose $.08 for the January/17 fiscal year. He prefers companies that are more free cash flow generators. Thinks it will be a bit of a challenge for them in the near term.

Changed their business model a few times in the last two years. They are going into the sports app business. Prefers the Score, who they will not be.

Really likes this. In the sports app business and have a new one that is called Breaking Sports which is super fast and is being down loaded like crazy. It was in the top 10 for most of March. The others were all basketball related because of March madness, and they are all going to drop out. This will probably be one of the most downloaded apps. Thinks they are trying to marry their app up with some other companies. If there was an announcement of this, that would probably be the next level as they start to generate more revenue.

Breaking Sports is the latest app for this company. It basically combs social media and looks for information on a player, team or sport that you want to track, and sends it to you in real time. Superfast and it is all done using their semantic search technology. A possible acquisition target.

Just added more to his holdings. He is quite excited about this. There is lots of opportunity ahead. Their original technology was doing search for mobile chat. Cell phone companies have lost a lot of revenue as people have migrated away from SMS platforms towards the Chat programs. This company has a technology that allows them to monetize this through advertising, both from the cell phone companies, but also from over the top carriers. What is really exciting is their most recent announcement that they are moving into the fantasy sports market, a $3.6 billion market with an app called Breaking Sports, which basically provides real-time information on sports. It will comb through and filter all the social media sites, and provide breaking news on sports. It's superfast. Stock is super cheap at this price. Has a $17 million market cap while the Score (SCR-X) has $110 million market cap with 6 million users. With users ramping up in Sprylogics, it could have the same market cap or higher. A big wild card is that it could be taken out.

Have been doing a lot of work on analytics. They have Semantic software and search engine that will basically filter out all the stuff so that they can look into the sports world, investment world, etc. It really surprises him that this is trading at its present value. It should probably be worth considerably more considering the patents that they have and their technology.

With the selloff it has had, you can’t get this any cheaper than what it is right now. Have a bunch of technologies that basically does semantics. He is continually watching for a big announcement from one of the phone companies, where they would embed their technology for Search and Chat at the same time. Most people have gone away from the straight SMS text messaging and gone to one of the “over the top” services. Sprylogics’ technology would allow the phone companies to get that revenue back and will also be able to generate revenue from advertisers which this company has a solution for also.

It has been difficult with so many companies that have small revenues with liaisons that they have managed to create. This one has just created a liaison with Amazon (AMZN-Q), which makes you think it should be $100. Amazon is interested in getting their parking software app. The most important thing for a company like this is, has it got the ingredients that somebody else needs, and will pay them $300 million for it when the market cap is $200 million.

Have really exciting technology. Everybody is trying to make money with mobile advertising right now This company has a solution. They have software that can be embedded into an app, which allows people to do a search, and advertisers to target them with a location-based search. The location pays a fee, and this company gets a part of that. There is a new platform being rolled out by the telecom carriers called RCS, basically a new upgrade to SMS. So many people are leaving SMS to do their chatting. This company is going to have a lot of the technologies to work with the software developer.