Mid-Cap

Steer Clear of This NASDAQ-Listed Software Stock – AVPT

March 31, 2022 | Team Kalkine
Steer Clear of This NASDAQ-Listed Software Stock – AVPT

 

AvePoint, Inc. 

         

AvePoint, Inc. (NASDAQ: AVPT) is a Microsoft 365 data management solutions provider previously known as Apex Technology Acquisition Corp. In Microsoft 365, the company provides a full suite of software as a service (SaaS) solution for data migration, management, and protection. AvePoint's data management solutions in the Microsoft cloud assist its global customer base to overcome complex transformation, governance, and compliance challenges.

Key Highlights

  • The company reported YoY growth of 26.65% in total revenue to USD 191.91 million in FY21 (ended December 31, 2021) compared to USD 151.53 million in FY20.
  • AVPT net loss increased to USD 33.25 million in FY21 vs. USD 16.97 million in FY20.
  • As of December 31, 2021, the company had cash and cash equivalents (including short-term investments) of USD 270.63 million and no outstanding debt.
  • On March 22, 2022, AVPT announced enhancements to Cloud Records, its SaaS platform for improving information lifecycle management and ensuring data resilience and compliance.
  • Stock is currently trading below its crucial short-term (50-day) and long-term (200-day) SMA support levels, a bearish indicator.
  • The stock is leaning towards the lower end of its 52-week range of USD 4.91 to USD 12.55.

Conclusion: Considering the company’s expanding net losses, lackluster technical indicators, and associated risks, we recommend a "Avoid" rating on the stock at the closing price of USD 5.42, down 2.17%, as of March 30, 2022.

Technical Price Chart (March 30, 2022). Source: REFINITIV, Analysis by Kalkine Group

*All forecasted figures and Industry Information have been taken from REFINITIV.

*The reference data in this report has been partly sourced from REFINITIV.


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