Momentum Stock Watch: SharpSpring Inc. (SHSP)

Company Profile:

SharpSpring, Inc. operates as a cloud-based marketing technology company worldwide. The company offers SharpSpring, a marketing automation Software as Service platform that uses features, such as web tracking, lead scoring, and automated workflow; and SharpSpring Mail+ product, a subset of the full suite solution, which focuses on traditional email marketing. It also provides Perfect Audience, a cloud-based platform that offers display retargeting software products and services. The company serves various organizations, including marketing agencies and small and medium size businesses, associations, and non-profits. It markets and sells its products and services through internal sales teams and third party resellers. The company was formerly known as SMTP, Inc. and changed its name to SharpSpring, Inc. in December 2015. SharpSpring, Inc. was founded in 1998 and is headquartered in Gainesville, Florida.

Recent News:

On May 21, 2020, the company announced it has been recognized by two of the leading software review platforms, earning placement as a 2020 Best Software Award winner on G2, and a Top Rated Marketing Automation Software for 2020 on TrustRadius.

For the first quarter ended March 31, 2020, the company reported that total revenue increased 32% to a record $7.1 million from $5.3 million in the same year-ago period. Net loss was $988,000, or $0.09 per share, compared to net loss of $2.9 million, or $0.33 per share, in the same year-ago period.

Fundamental Analysis:

Ninestocks analyzes several different financial aspects: Growth, Profitability, solvency and efficiency.

Growth – Measures the growth of both the company’s income statement and cash flow.

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Profitability – Measures the historical price movement of the stock.

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Solvency – Measures the solvency of the company based on several ratios.

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Efficiency – Measures the strength and historic growth of a company’s return on invested capital.

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Conclusion:

SHSP’s strengths can be seen in its strong growth and robust efficiency compared with its peers. Its revenue has increased over recent several years. Technical indicators signal the bullish signs, as there is a bullish crossover in Stochastic oscillator, MACD is trying to cross back up and the RSI stands at 51.96 with positive bias. We rate SharpSpring Inc. (SHSP) a STRONG BUY.