DMG Blockchain Solutions Inc. (DMGI:TSV) STA Research maintains Speculative Buy, .80 cent target

HC Wainwright targets DMG Blockchain Solutions as Buy, at CAD 1 target.
STA Research assigns speculative buy rating at CAD 0.8 target

STA Research maintained their Speculative Buy rating, and the 12 month .80 cent target on the stock.

Based on the DMG Blockchain Solutions Inc stock forecasts from 2 analysts, the average analyst target price for DMG Blockchain Solutions Inc is CAD 1.27 over the next 12 months. DMG Blockchain Solutions Inc’s average analyst rating is Strong Buy. Stock Target Advisor’s own stock analysis of DMG Blockchain Solutions Inc is Slightly Bearish, which is based on 4 positive signals and 5 negative signals. At the last closing, DMG Blockchain Solutions Inc’s stock price was CAD 0.26. DMG Blockchain Solutions Inc’s stock price has changed by -0.01% over the past week, -0.14% over the past month and -66.00% over the last year.

DMG Blockchain Solutions Inc. operates as a blockchain and cryptocurrency company. It conducts business through departments dedicated to developing enterprise Blockchains, data analytics, and forensics. To monetize the blockchain ecosystem, the organisation administers, runs, and creates digital solutions. Along with hosting services for clients in the industrial mining industry, it also works on establishing enterprise blockchains. The business also offers technical consulting services to accounting firms, law firms, and law enforcement agencies, as well as software solutions including blockseer pool, mine management software, and walletscore. The business was established in 2011 and has its main office in Grand Forks, Canada. Grand Forks, British Columbia, Canada, V0H 1E0

 

What we like:

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Underpriced compared to book value

The stock is trading low compared to its peers on a price to book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Underpriced on free cash flow basis

The stock is trading low compared to its peers on a price to free cash flow basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

 

What we don’t like:

Poor risk adjusted returns

This company is delivering below median risk adjusted returns in its peers. Even if it is outperforming on returns , the returns are unpredictable. Proceed with caution.

High volatility

The total returns for this company are volatile and above median for its sector over the past 5 years. Make sure you have the risk tolerance for investing in such stock.

Below median dividend returns

The company’s average income yield over the past 5 years has been low compared to its peers. However, it is not a problem if you are not looking for income.

Negative cashflow

The company had negative total cash flow in the most recent four quarters.

Low Earnings Growth

This stock has shown below median earnings growth in the previous 5 years compared to its sector