Topic: How To Invest

Power Growth Investor Hotline – Friday, January 10, 2020

Article Excerpt

SIERRA WIRELESS INC., $12.58, is a buy. The company (symbol SW on Toronto) lets you tap into the expanding market for digital components that connect products, including smart electricity meters and vehicles, to the Internet. This is known as machine-to-machine (M2M) networking, or the “Internet of Things.” Sierra has now completed its $19.6 million U.S. purchase of the M2M group of companies in Australia. The M2M Group is focused on IoT connectivity services and cellular devices in Australia. Its acquisition expands Sierra Wireless’ IoT business in the Asia-Pacific region. Those operations look like a good fit for Sierra’s IoT Solutions business. Slightly more than half of the M2M Group’s revenue comes from subscription-based recurring revenue. The M2M Group’s revenue for the 12 months ended November 30, 2019, was $19.0 million U.S., of which $9.6 million U.S. was recurring subscriptions. To put that into perspective, Sierra had revenue of $174.0 million in the latest quarter. The company’s outlook for its markets and investors is strong…

You are trying to access subscriber-only content.

To read this article, you may subscribe or sign in.
If you are already a subscriber, log in here.

If you wish to become a subscriber, click here. Or you may enjoy access to all our publications when you become a Member of Pat McKeough's Inner Circle Pro.