Financial News
Siyata Mobile Stock In Play After Two Major Deals And A 588% Surge In Q3 Revenues ($SYTA)
It pays to be different in crowded sectors, and Siyata Mobile (NASDAQ: SYTA) is proving that point. In fact, SYTA’s standout characteristics have been instrumental in the pursuit of its mission to secure a global market leadership position in the fast-growing Push-to-Talk Over Cellular (PoC) sector. Thus, don't be misled by the company's micro-cap share price; SYTA is performing in the major leagues of the industry and is disrupting traditional Land Mobile Radio (LMR) markets with next-generation cellular technology.
SYTA already has its sights set on a $20 billion revenue generating opportunity - and that’s just the 2022 valuation. Estimates into 2025 put the combined addressable market opportunity north of $50 billion in the North American markets alone. In other words, SYTA is in the right markets at the right time and, just as importantly, has the right products to target several of the most potentially lucrative categories in the PoC industry. By leveraging its role as a leading developer and distributor of technologically advanced rugged smartphones, SYTA can meet growing sector demand for products such as in-vehicle mounted IoT cellular communications devices and cellular signal boosters for global first responders and enterprise customers.
Having those products is a key distinction that will allow SYTA to quickly penetrate markets. In fact, they are already doing so - even biting into share once held almost exclusively by the industry’s LMR behemoths like Motorola Solutions Inc. (NYSE: MSI), L3Harris Technologies Inc. (NYSE: LHX), and overseas brands such as JVCKenwood Corp. (TSE: 6632) and Hytera Communications Corp (SZSE: 002583). Perhaps the best part of the SYTA value proposition is that its impressive growth trajectory shows no signs of slowing.
Right Sectors, Right Products At Right Time
To the contrary, SYTA’s growth is accelerating because the company is aggressively capitalizing upon PoC market opportunities with disruptive solutions, targeting three complementary product categories whose synergies include using the same core channels and servicing the same customers. The better news is that no other known competitor offers a similarly comprehensive portfolio of products, a distinction that could enable SYTA to replace ambition with real-time growth from an expanding client list that includes global and national carriers that appreciate the breadth of its single vendor asset portfolio. That difference is advantageous by providing synergistic sales benefits and simplifying integration processes.
That's not the only benefit: so are those inherent to SYTA products, including its rugged SD7 push-to-talk handsets. This next-generation PoC device is already considered a game-changing field asset and an excellent upgrade from land mobile radio because of its simple, purpose-built, highly functional, and rugged Android-based design. That’s not the only feature attracting client interest; it's also earning praise for its rugged IP68-rated design that protects against dust and debris, making it the only known push-to-talk device meeting the needs of especially rigorous field use applications. More important than that, it provides excellent noise-reducing sound quality that allows for clear communication, a benefit typically not inherent to the current generation of rugged smart and feature phones. There’s still more to like.
SYTA is doing more than targeting field PoC applications; opportunities from In-Vehicle PoC solutions are in the revenue-generating crosshairs as well. Indeed, SYTA’s complementary and innovative VK7 is a first-in-class, in-car solution that pairs with its SD7. Like the company’s SD7, the VK7’s strength is in its unique design, which includes connections to vehicle power, an integrated 10W speaker, a simple Slide-In connection, and internal active cooling. Additionally, the kit has a modularity that allows for the integration of multiple accessory solutions. Another product in the in-vehicle family is the UV350, an in-vehicle smartphone specifically designed to optimize mobile communications while driving. The UV350 is already considered a preferred IoT device for commercial vehicles because its 4G/LTE speed is always powered and supports FirstNet® certified apps, including fleet management, dispatch, GPS mapping, and other custom solutions.
A third category intending to drive revenues higher is its Channel Relationships, a focus allowing SYTA to market devices with global cellular carriers and distributors who sell to their enterprise customers. Leveraging these carrier sales channels and their broad customer base with SYTA’s three complementary product categories benefits a lean operating cost structure. Furthermore, Siyata brings a unique advantage in providing client carriers the ability to activate a SIM card and generate income otherwise not captured with customers using traditional LMR.
Timely To The Opportunity
Of course, excellent products are only as valuable as the markets they serve. As noted, SYTA targets several massive market opportunities and is currently earning business by overcoming the limitations of traditional LMR services, which can include limited coverage, restricted voice and low-capacity functionality, and high start-up and tower maintenance costs.
Those inefficiencies, while bad news for the brands that sell them, are excellent accelerants supporting SYTA's growth. And by being a first-to-market provider to replace decades-old technology with a 21st-century solution, SYTA is prepared to maximize that opportunity. The more excellent news is that walkie-talkie-like technology with an unlimited coverage range is about to be offered to the masses. For SYTA, it puts billions of market dollars into play - and they may be easier to capture than many think.
That could result from SYTA technology operating over 4G LTE networks, enabling consistent domestic and international connectivity to facilitate messaging, one-to-one, or one-to-many instant call communications. Moreover, running on the high bandwidth 4G LTE network also supports data-intensive services such as pictures, video, and a host of other third-party applications. Perhaps the best news for everyone, including SYTA investors, is that with no need to invest in infrastructures such as radio towers or repeaters, the client list at SYTA can grow not only appreciably but quickly. That could translate to more business for Siyata, and thanks to a lean operating structure, revenues should fall faster toward the bottom line. By the way, there could be plenty more to count.
Deals Made, Revenues Surge
Last month, SYTA announced inking a deal with Bell Mobility Inc. to launch its rugged SD7 device onto their network in the fourth quarter of 2022. The opportunity is tremendous, tapping into the potential inherent to Bell Mobility’s leading wireless operator position and more than 10 million subscribers. As a division of Bell Canada, that deal could be the first of several, each bringing significant new revenue opportunities. That's not the only near-term value driver.
In December, SYTA announced adding RadioTrader, the UK and Ireland's premier two-way radio supplier, to distribute the ruggedized, mission-critical SD7 PoC device and VK7 vehicle kit accessory. That deal is expected to attract business from a wide variety of industries that rely on RadioTrader and its over 20 years of industry experience for two-way radio solutions. Moreover, the addition of SYTA's SD7 device and VK7 vehicle kit validates the quality of SYTA products and, more importantly, could provide fuel to score considerable near-term sales. If so, they add to impressive growth.
For its quarter ending September 30, 2022, SYTA reported strong year-over-year and sequential top-line growth. In addition, operating losses are declining, a tribute to its streamlined business model allowing for market growth without bottom-line destruction. Most notably, the company's improved financial performance was driven primarily by several customer trials of its SD7 rugged push-to-talk device, which began shipping in the second quarter.
Those trials are paying off, evidenced by conversion from tests to purchase orders leading to a 588% increase in year-over-year revenue to $1.9 million in Q3. While accessories contributed, the excellent news is that revenue increases were driven primarily by volume growth for its SD7.
Pushing Toward A Record-Setting 2023
All told, SYTA is firing on all business cylinders. And, as a leading global vendor of next-generation Push-To-Talk over Cellular devices and cellular booster systems, its trend of excellent operating performance is likely to continue.
Frankly, while its 588% comparative Q3 revenues were impressive, the recent deals alluded to could make that surge the precursor to even higher gains, especially from dealing with some of the world's largest carriers and distributors. As noted, SYTA appears to be gaining business traction where others aren't, which puts hundreds of millions, if not billions, in revenues into its income crosshairs from laying the groundwork that should keep the competitive landscape thin.
Bottom line: best-in-class products, deals with top-tier clients, and surging revenues expose a value disconnect between SYTA shares and its work done. But it’s not only what they've already accomplished supporting that idea; it’s what they are doing now that really drives the point home. That perspective makes SYTA stock an attractive and compelling value proposition. But, like most Wall Street disconnects, once found, they close quickly. In other words, with SYTA looking better positioned than ever for growth, taking advantage of the value proposition may be better done sooner than later.
Disclaimers: Shore Thing Media, LLC. (STM, Llc.) is responsible for the production and distribution of this content. STM, Llc. is not operated by a licensed broker, a dealer, or a registered investment adviser. It should be expressly understood that under no circumstances does any information published herein represent a recommendation to buy or sell a security. Our reports/releases are a commercial advertisement and are for general information purposes ONLY. We are engaged in the business of marketing and advertising companies for monetary compensation. Never invest in any stock featured on our site or emails unless you can afford to lose your entire investment. The information made available by STM, Llc. is not intended to be, nor does it constitute, investment advice or recommendations. The contributors may buy and sell securities before and after any particular article, report and publication. In no event shall STM, Llc. be liable to any member, guest or third party for any damages of any kind arising out of the use of any content or other material published or made available by STM, Llc., including, without limitation, any investment losses, lost profits, lost opportunity, special, incidental, indirect, consequential or punitive damages. Past performance is a poor indicator of future performance. The information in this video, article, and in its related newsletters, is not intended to be, nor does it constitute, investment advice or recommendations. STM, Llc. strongly urges you conduct a complete and independent investigation of the respective companies and consideration of all pertinent risks. Readers are advised to review SEC periodic reports: Forms 10-Q, 10K, Form 8-K, insider reports, Forms 3, 4, 5 Schedule 13D. For some content, STM, Llc., its authors, contributors, or its agents, may be compensated for preparing research, video graphics, and editorial content. STM, LLC has been compensated up to ten-thousand-dollars cash via wire transfer by a third party to produce and syndicate content for Siyata Mobile Corp.. for a period of two weeks. As part of that content, readers, subscribers, and website viewers, are expected to read the full disclaimers and financial disclosures statement that can be found on our website. The Private Securities Litigation Reform Act of 1995 provides investors a safe harbor in regard to forward-looking statements. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical fact may be forward looking statements. Forward looking statements are based on expectations, estimates, and projections at the time the statements are made that involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. Forward looking statements in this action may be identified through use of words such as projects, foresee, expects, will, anticipates, estimates, believes, understands, or that by statements indicating certain actions & quote; may, could, or might occur. Understand there is no guarantee past performance will be indicative of future results. Investing in micro-cap and growth securities is highly speculative and carries an extremely high degree of risk. It is possible that an investors investment may be lost or impaired due to the speculative nature of the companies profiled.
Media Contact
Company Name: STM, LLC.
Contact Person: Michael Thomas
Email: contact@primetimeprofiles.com
Phone: 917-773-0072
Country: United States
Website: https://primetimeprofiles.com/
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.