Updated Zacks Report

Aiming to become the global leader in chip-scale photonic solutions by deploying Optical Interposer technology to enable the seamless integration of electronics and photonics for a broad range of vertical market applications

Dear Agoracom Family,

I want to thank all of you for your patience with us over the past 48 hours and apologize for what was admittedly a botched launch of our new site.

As you can see, we have reverted back to the previous version of the site while we address multiple forum functionality flaws that inexplicably made their way into the launch.

To this end:

1.We have identified 8 fundamental but easily fixable flaws that will be corrected in the coming week, so that you can continue to use the forums exactly as you've been accustomed to.

2.Additionally we will also be implementing a couple of design improvements to "tighten up" the look and feel of the forums.

Sincerely,

George et al

Reply New Message

Prev Message Back To Forum Threaded View Next Message

Hike

Rank: Mail Room [?]

Points: 159 [?]

Votes: 31 Score: 2.7 [?]

Your Vote:

Please Log In to Vote

Did you know? You can earn activity points by filling your profile with information about yourself (what city you live in, your favorite team, blogs etc.)

Updated Zacks Report

posted on Nov 21, 2022 12:58PM

Full report:

https://s27.q4cdn.com/906368049/files/News/2022/Zacks_SCR_Research_11212022_POET_Thompson.pdf

Nuggets:

1. Given its unique product offering and large TAM we believe POET shares are worth $13.82 based on peer multiples given no further equity dilution than forecast.

2. POET also sees a huge market developing in AI. Its customer Celestial AI projects selling 1 million AI accelerators of which there are four POET chips in a unit. At $100 per chip, Celestial represents $400 million in potential revenues by itself. So far, everything Celestial is planning to sell contains POET. Celestial AI is addressing a market expected to be $70 billion in 2025.

3. In the next three months, we expect major customers to be announced surpassing those landed to date.

4. At its current burn rate, the company has a potential of seven to eight quarters of cash ($10.3 million + $4.1 million +$5 million = $19.4) from today. As revenues ramp, we expect the burn rate to decline. Cash flow breakeven is still expected at a revenue level of $20 million per quarter.

5. The stock currently trades at a fully diluted enterprise value of US$110 million. The global market for optical transceivers is estimated to be $5.7 billion in 2020 and is projected to reach a value of $9.2 billion by 2025, representing a CAGR of 10.0%, according to MarketsandMarkets. POET’s product is a component of an optical transceiver and the market is about a third of the transceiver market. If POET can secure even a small portion of that market with its unique offering, its valuation should far exceed its current price. We believe the stock could be worth US$13.82 based on $

44 Recommendations

Reply New Message

Prev Message Back To Forum Threaded View Next Message

Please to post a reply