![]() ![]() Bulls would also point to the stated $1.2 trillion market opportunity the company is addressing. In an age where valuation multiples have taken a backseat in high growth sectors, this premium is not too significant especially as the company is expecting revenue to grow by more than 114% to $315 million in 2022. With Stem estimating fiscal 2021 revenue to come in at $147 million, this would place the company's forward 1-year revenue multiple at 32x. Is Stem truly as revolutionary as its bulls claim? Is the hype warranted? Further, while Stem's SPAC deal was completed at an implied equity value of $1.35 billion, its market capitalization has now risen to $4.74 billion with 135.4 million shares expected to be outstanding and its common shares currently trading at $35 per share. This level of hype and borderline euphoria around a stock always creates a level of skepticism. There has been a material level of hype around Stem from retail investors as well as established outlets like CNBC who listed the company on its " 10 SPACs To Die For" and Citron Research who called the stock the " most compelling market ESG story" with a $100 price target. The SPAC transaction will see Stem become a public company 12 years after it was founded. in a transaction that will see the smart energy storage firm raise $608 million of gross proceeds, including a $225 million PIPE. The firm is going public with a merger with blank check company Star Peak Energy Transition Corp. Prior results do not guarantee similar outcomes.Stem Inc (NYSE: STPK) describes itself as a market leader in AI-driven clean energy storage systems. Jakubowitz Law is vigorous in pursuit of justice for shareholders who have been the victim of securities fraud. issued materially false and/or misleading statements and/or failed to disclose that: (i) Legacy Stem suffered from material weaknesses in internal control over financial reporting related to accounting for the deferred cost of goods sold and inventory, certain revenue recognition calculations, and internal-use capitalized software calculations (ii) the Company had overstated Legacy Stem's and its own post-Merger business and financial prospects (iii) Stem's software revenue did not makeup 100% of the Company's services revenue (iv) Stem had overstated the benefits expected to flow from its AP partnership and (v) as a result, the offering documents and defendants public statements throughout the class period were materially false and/or misleading and failed to state information required to be stated therein. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.Īccording to a filed complaint, Stem, Inc. Shareholders interested in acting as a lead plaintiff representing the class of wronged shareholders have until Jto petition the court. This lawsuit is on behalf of a class consisting of all persons and entities other than defendants that purchased or otherwise acquired Stem securities: (a) pursuant and/or traceable to certain documents issued in connection with the merger consummated on April 28, 2021, by and among the Company, STPK Merger Sub Corp., and Stem, Inc., a private Delaware corporation and/or (b) between March 4, 2021, and February 16, 2023, both dates inclusive. To receive updates on the lawsuit, fill out the form: NEW YORK, J/PRNewswire/ - Jakubowitz Law announces that a securities fraud class action lawsuit has commenced on behalf of shareholders of Stem, Inc. ![]()
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