Inuvo Shareholders Unite – Only 11 More Shopping Days Until Cyber Monday!

November 15, 2012 at 10:00 am 3 comments

Inuvo Shareholders Unite!

Inuvo management just put together a fantastic quarter, significantly stronger than even the most optimistic analysts and/or shareholders expected. From all indications, they are seeing this momentum carry over into the fourth quarter. This creates a very big opportunity for Inuvo shareholders, both existing and those smart enough to see what is about to happen here and choose to jump on this bandwagon. The company was solidly EBITDA profitable in Q3 ($1m in EBITDA) and the company expects to do that or better in Q4.

Reviewing the company’s actual Q3 performance vs. the analysts’ estimates, Inuvo delivered results about $200k below estimates on the expense line, while beating the revenue estimate by close to $700k, making for a GAAP bottom line over $800k better than the analysts were expecting. Looking at analyst’s estimates for the current quarter (Q4 2012), it appears they are expecting the company to show a GAAP bottom line loss of $1,013,000.  We believe this presents a tremendous opportunity for Inuvo shareholders.

If Inuvo management can keep up the third quarter’s momentum and beat the analysts’ GAAP estimate by $820,000 in Q4 like they did in Q3, that would result in a GAAP loss of around $193,000 or essentially breakeven. But what if they get a little bump on the revenue line from a new product/service that produces significant income without adding much if anything to the expense line (read about the Bargain Match App here). We believe that Bargain Match is a big deal and it could provide the incremental revenue to get us over that hump to GAAP profitability. But what if hundreds, maybe even a thousand+ new investor/consumers evolved who were either Inuvo shareholders or friends of shareholders who took their vested interest to heart and used Bargain Match and the ALOT Appbar like they owned it? As a shareholder you do own it, and no one will benefit more than you if Inuvo finds a way to report a GAAP profit in Q4. We are not suggesting that is definitely going to happen, we are saying it absolutely could. If the people reading this click here to download the Appbar  and also click here to download the Bargain Match App and use them daily over the remaining days of the fourth quarter, each such person could add hundreds of dollars to Inuvo’s bottom line. If 1,000 investor/consumers generated $2o0 each (click here to see how that could easily occur), that would equal $200k and that would put Inuvo over the hump to a GAAP profit in Q4 if the scenario described above plays out. If Inuvo management has already found that App (Bargain Match) that will itself push the company to GAAP profitability in Q4, the extra $200k or so from the daily use of investor/consumers will push the company to that much more of a profit. If INUV reports a GAAP profit in Q4 of this year, Inuvo’s share price will likely move up solidly over $2 and buyers at today’s prices would double their money just by buying the stock and using the services for five to six months (until Q4 is reported). Of course, by that time the stock could already be well north of $2 and have operating momentum that would make investors think twice before taking any of their capital off the table, but you get the point. It is very rare to see a company that is performing as well as Inuvo is performing right now trading at such a big discount to the other similar companies in the space (see Local.com article that highlights cheap INUV valuation here). It is also very rare to find a company whose fortunes could be so heavily impacted by a collaborative consumption effort that requires so little effort on the part of each participant – we are simply asking that you install the Bargain Match App before you shop at the online stores you usually go to (and get paid cash for your trouble) and use the ALOT Appbar search box for a convenient way to search the internet with Google. And show a few friends how to profit from this too.

The bottom line – it is time for the shareholders of Inuvo to unite and work together in a focused effort by each to use the ALOT Appbar, the Bargain Match App and show as many friends and associates as possible why they should buy the stock and use the Appbar and Bargain Match too! If everyone who reads this downloads the Bargain Match browser extension App and installs the ALOT Appbar and uses them for all searching and shopping for the next few months (with a laser like focus on doing it the next few weeks to beat last year’s record holiday results), we can have a material impact on the fortunes of Inuvo and your Inuvo stock. Use the tools at the bottom of this article to pass this along to two or three friends who might join us.

Thus, we are setting four goals to work towards starting November 15 –
1) We want our participants to use the Bargain Match Cashback App for as many purchases as possible
2) We want our participants to install and use the Appbar for its search box or use http://www.alothome.com for all searching
3) We want to do as many transactions as possible on Cyber Monday, November 26 to set new revenue records for Bargain Match while achieving a $100k revenue day for the ALOT Appbar / Home Page.
4) Do as many transactions as possible on Bargain Match for the two week period Nov. 15 – Nov. 30 to beat the records for total retail sales, transactions and revenue generated that we achieved last year in a beta test of Bargain Match during the early holiday shopping season.

What constitutes a transaction that will help propel Inuvo’s revenue generally and more specifically, help set new Cyber Monday records for retail sales, transactions and revenue generated by Bargain Match and achieve a $100k search revenue day for the Appbar? There are three kinds:

1) Alot Appbar Search Box – any search done using this search box generates search results pages from Google, the same things you would get with a Google search. The search results (websites) listed at the top (top 3) and bottom of those pages are paid placements and Inuvo keeps close to 80% of the revenue generated for each click of one of them. Much of Inuvo’s recent growth has come through this channel, as more US based users equals higher revenue per click because in the US, searches that include combinations that include keywords like lawyer, attorney, broker, loan, mortgage, insurance, car insurance, donate to charity, credit card, etc. (click here to see a list that purports to be the  top 20 paying keyword terms) are in very high demand by advertisers who will pay very high rates to have their sites at the top of a Google search. All of this works the same way for a search from www.alothome.com, which many of you who may want to participate from work might need since some corporate computer networks block Appbars, browser add-ons, etc. For those participants, they can just type www.alothome.com into their browser and get the same Google search results experience while generating revenue for Inuvo.

2) Bargain Match App – shopping on 2,000 of the most visible and well-known retailer’s websites (includes Target, Wal-Mart, Sears, Lowes, Home Depot, Best Buy, most major retailers, click here to see full list) after you add the Bargain Match App adds money to your “cashback account” with each purchase and it typically pays the same amount to Inuvo. So if you download and use the BM browser app today, all your shopping going forward will earn cashback for you and more revenue for Inuvo. This is a big part of the push we are seeking.

3) Add the Amazon, Ebay and Groupon Apps to your Appbar – there are hundreds of options for apps to add to your appbar, but there is one each for Ebay, Amazon and Groupon that essentially lets you search those sites/services and it also pays Inuvo a commission if you buy anything through that search. When you click the app and do a search, it puts you on the Amazon or Ebay site pages for the item you searched and anything you purchase will result in a commission being paid to Inuvo. With the Groupon App, you click it to see the deal of the day for your area and when you buy it or click-through from the App to Groupon Goods or Getaways, Inuvo earns a % of this transaction (usually 4 – 8%) and Bargain Match users actually get 4% of their Groupon purchase deposited into their own cashback account.

In summary, Inuvo shareholders, Groove Community members and all who read this while the stock is still trading below its 52 week high ($1.44)  have a tremendous opportunity to benefit not only from a very cheap, below the radar microcap stock that is just starting to gain operational momentum, but to participate in a unique “collaborative consumption” movement that is sure to push Inuvo to make the jump to GAAP profitability much sooner than it would have otherwise and possibly as soon as the current quarter.  Whether that occurs or not, investors who buy shares at today’s prices (Inuvo closed at $1.02 today) should double their money by this time next year with the potential for 3 – 5x their money if enough investor/consumers join in.

Advertisements

Entry filed under: Uncategorized.

Inuvo’s Q3 Results Blow Away Estimates Cyber Monday Records and Spreading the Word

3 Comments Add your own

  • 1. bankerbyday  |  November 15, 2012 at 10:29 am

    Great idea! This stock is so under appreciated. People who try Bargain Match will save money, make money and keep using it. This is a great way to get the word out – count me in and I’ll bring a few friends to join the fun. INUV = $2.50 by March.

    Reply
  • 2. Dave S  |  November 15, 2012 at 10:51 am

    It doesn’t get any easier than this. A nice way to start the holiday season, I’ll be on Facebook telling my friends how to earn money while getting the best deals this Christmas. And if they buy the stock, use ALOT and BargainMatch, and tell friends to do the same, we will all be in for a very nice spring.

    Reply
  • 3. john  |  November 15, 2012 at 3:18 pm

    This is how our group sees it. We all use Alot and BargainMatch. revenue ebidta
    $18.6 q4 2012 2

    $18.0 q1 2013 1.9
    $18.9 q2 2013 2.2
    $22.7 q 32013 2.5
    $27.2 q4 2013 4.2
    2013 ytd $86.8 10.8

    10 cap $108,000,000
    stock value $4.60

    Reply

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Trackback this post  |  Subscribe to the comments via RSS Feed


Enter your email address to follow this blog and receive notifications of new posts by email.