j2 Global Is A Sleeper

7/21/19

By Steve Auger, SeekingAlpha

j2 Global, Inc. (NASDAQ:JCOM), once a Wall Street darling, has been all but forgotten these last few years. Once upon a time, the company raked in dollars with its eFAX business. But now, the patents have expired, and the company has been transformed into a portfolio of internet businesses. The growth strategy has been to buy up distressed companies with the intent of nurturing them back to health. This strategy has generally worked with 5-year annual revenue growth of almost 19%. But the growth hasn't translated into investor excitement as the stock price has stalled for the last 3 years.

The stock has had difficulty penetrating the $90 mark, having reached that level many times over the last 3 years.

Will this be the time that the stock breaks through?

I believe there is a high likelihood that j2 Global will break upwards from here. The company doesn't quite meet the software Rule of 40 but comes close. In my estimation, the stock price is fairly valued, and I believe that the stock is a speculative buy for more aggressive investors.

READ FULL ARTICLE HERE

Recent Deals

Interested in advertising your deals? Contact Edwin Warfield.