Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 1 Atomos Ltd (AMS) Rating: Buy | Risk: High | Price Target: $1.53 Capturing 8K performance at 1080p prices James Bisinella | Analyst +61 3 9268 1123 [email protected]Jonathon Higgins | Analyst +61 3 9268 1182 [email protected]Event We initiate on Atomos (ASX: AMS) with a Buy Recommendation and Price Target of $1.53 per share (61.9% upside). Highlights • Market leading products addressing hypergrowth trends – Atomos designs, manufactures and distributes market leading monitor-recorders globally. These products RRP from US$299 to US$6,499 with gross margins of ~45%. Atomos gives video professionals a faster, superior quality and more affordable output which is highly sought after in the digital age driven by hypergrowth across streaming (Netflix with >200m subscribers), social media (Instagram and Facebook with 2.8bn and 1.3bn users respectively) and gaming (Twitch with ~10m streamers and growing ~150% MoM). • Positioned for revenue acceleration in 2H21 – Atomos is entering 2H21 on strong grounds with revenue of $32.8m accelerating MoM in 1H21. A recent company outlook statement pointed to sales momentum continuing into 2H21, which supports our revenue estimate of $39.4m or +20% HoH in 2H21 alongside maiden contributions from software sales, Ninja launches, further ProRes RAW integrations, rising organic website visits (+7.6% MoM in April) and growth in the recently launched Neon range. • Ninja range extended to 8K and streaming – Yesterday AMS announced the launch of the Ninja V+ (first monitor-recorder with 8K recording), Ninja Stream (livestream across the world without a PC) and H.265 codec for Ninja V (via a US$99 software upgrade from May 2021). These represent high quality and relevant opportunities in growing markets with live product launches slated for May 6 th which should shed further light. • Product expansion opportunities to contribute – Over and above growth in the existing product base, Atomos is planning new product launches over the next 6 - 18 months including new categories (gaming), further ProRes RAW integrations and Series 2 product range releases. Additionally, partnership opportunities with the likes of Disney, Zoom, Netflix, Twitch, Cisco could also provide further upside opportunities. • Profits to emerge alongside operating leverage – We anticipate material operating leverage as Atomos continues to scale its business after turning EBITDA and cashflow positive in the most recent half. Latest 1H21 results and Shaw estimates include: ▪ Revenue: $32.8m at 1H21, Shaw estimates of $39.4m, $72.2m and $88.5m across 2H21e, FY21e and FY22e respectively. We anticipate strong growth driven by new product launches, core video thematic tailwinds, market leadership and accelerating performance in Entertainment across recently launched Neon products. ▪ Gross profit and margins: $14.7m / 44.9% gross margin at 1H21, Shaw estimates of $17.9m, $32.6m and $40.9m across 2H21e, FY21e and FY22e respectively. We see potential for more favourable GM profile over time including software sales. ▪ EBITDA (post-R&D) and margins: $3.0m at 1H21 at 9.2% EBITDA margin, Shaw estimates of $3.6m, $6.6m and $10.2m across 2H21e, FY21e and FY22e respectively. • Video the enduring modern communication modality of choice – The importance of video communication emerged pre-Covid and accelerated during the WFH phenomenon. Video has proven more efficacious than traditional print and radio media. Internet-based video is forecast to reach 82% of internet traffic in 2022 (source: Cisco). With users and penetration rising in all Atomos segments (Social, Pro-Video, Entertainment) we see social media, gaming and video streaming continuing to drive adoption. • Risks – Technological change, competition, supply chain, IP protection, cash burn (net cash ~$23m), international operations and key board/management risk, among others. Recommendation Atomos offers exposure to a globally relevant, market leader in the monitor-recorder space. With superior design, manufacturing and distribution, we see Atomos continuing to deliver significant revenue growth alongside high gross margins and a scalable business model. Initiate with Buy Recommendation.
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Shaw and Partners
0.94500 0000 000
AMS – Equity Report current as at –30/04/2021–Pg. 1
manufactures and distributes market leading monitor-recorders globally. These products RRP from US$299 to US$6,499 with gross margins of ~45%. Atomos gives video professionals a faster, superior quality and more affordable output which is highly sought after in the digital age driven by hypergrowth across streaming (Netflix with >200m subscribers), social media (Instagram and Facebook with 2.8bn and 1.3bn users respectively) and gaming (Twitch with ~10m streamers and growing ~150% MoM).
• Positioned for revenue acceleration in 2H21 – Atomos is entering 2H21 on strong grounds with revenue of $32.8m accelerating MoM in 1H21. A recent company outlook statement pointed to sales momentum continuing into 2H21, which supports our revenue estimate of $39.4m or +20% HoH in 2H21 alongside maiden contributions from software sales, Ninja launches, further ProRes RAW integrations, rising organic website visits (+7.6% MoM in April) and growth in the recently launched Neon range.
• Ninja range extended to 8K and streaming – Yesterday AMS announced the launch of the Ninja V+ (first monitor-recorder with 8K recording), Ninja Stream (livestream across the world without a PC) and H.265 codec for Ninja V (via a US$99 software upgrade from May 2021). These represent high quality and relevant opportunities in growing markets with live product launches slated for May 6th which should shed further light.
• Product expansion opportunities to contribute – Over and above growth in the existing product base, Atomos is planning new product launches over the next 6 - 18 months including new categories (gaming), further ProRes RAW integrations and Series 2 product range releases. Additionally, partnership opportunities with the likes of Disney, Zoom, Netflix, Twitch, Cisco could also provide further upside opportunities.
• Profits to emerge alongside operating leverage – We anticipate material operating leverage as Atomos continues to scale its business after turning EBITDA and cashflow positive in the most recent half. Latest 1H21 results and Shaw estimates include:
▪ Revenue: $32.8m at 1H21, Shaw estimates of $39.4m, $72.2m and $88.5m across 2H21e, FY21e and FY22e respectively. We anticipate strong growth driven by new product launches, core video thematic tailwinds, market leadership and accelerating performance in Entertainment across recently launched Neon products.
▪ Gross profit and margins: $14.7m / 44.9% gross margin at 1H21, Shaw estimates of $17.9m, $32.6m and $40.9m across 2H21e, FY21e and FY22e respectively. We see potential for more favourable GM profile over time including software sales.
▪ EBITDA (post-R&D) and margins: $3.0m at 1H21 at 9.2% EBITDA margin, Shaw estimates of $3.6m, $6.6m and $10.2m across 2H21e, FY21e and FY22e respectively.
• Video the enduring modern communication modality of choice – The importance of video communication emerged pre-Covid and accelerated during the WFH phenomenon. Video has proven more efficacious than traditional print and radio media. Internet-based video is forecast to reach 82% of internet traffic in 2022 (source: Cisco). With users and penetration rising in all Atomos segments (Social, Pro-Video, Entertainment) we see social media, gaming and video streaming continuing to drive adoption.
• Risks – Technological change, competition, supply chain, IP protection, cash burn (net cash ~$23m), international operations and key board/management risk, among others.
Recommendation Atomos offers exposure to a globally relevant, market leader in the monitor-recorder space. With superior design, manufacturing and distribution, we see Atomos continuing to deliver significant revenue growth alongside high gross margins and a scalable business model. Initiate with Buy Recommendation. 299
Atomos is a video technology company, which enhances video content creation by producing products that connect the imaging and computer worlds. It designs, develops and commercializes monitor-recorder products that ensure content creators consistently have access to the latest video monitoring, processing and recording technologies, regardless of how advanced the camera or production equipment they use. The company was co-founded by Jeromy Young in 2010 and is headquartered in Cremorne, Australia.
▪ Australia - Camera House (60), Teds Cameras (19)
▪ UK - Jessops (47)
▪ China - Videostar Co (4)
Figure 15: Atomos Resellers (key countries / geographies)
Source: Company website, Shaw and Partners analysis (at April 2021)
USA (by state) Count Canada (by province) Count Europe (by country) CountAlabama 1 Alberta 5 Finland 6Arkansas 1 British Columbia 8 France 28Arizona 5 Manitoba 5 Germany 47California 77 New Brunswick 1 Ireland 4Colorado 9 Newfoundland 1 Italy 47Connecticut 2 Labrador 1 Netherlands 30Delaware 2 Nova Scotia 2 Russia 13Florida 39 Ontario 42 Spain 25Georgia 12 Quebec 17 Sweden 13Hawaii 2 Total 82 UK 82Iowa 1 Total unique 43 Total 295Idaho 9 Total unique 249Indiana 7Kansas 2 Asia (by country) CountKentucky 1 China 4Louisiana 1 Japan 29Massachusetts 8 HK 8Maryland 6 Taiwan 8Michigan 4 Singapore 9Minnesota 7 Malaysia 6Missouri 5 South Korea 14North Carolina 6 Total 78North Dakota 1 Total unique 75Nebraska 2New Hampshire 2New Jersey 16 Australia (by state) CountNevada 4 ACT 3New York 39 NSW 33Ohio 6 NT 3Oklahoma 2 QLD 27Oregon 9 SA 8Pennsylvania 7 TAS 2Rhode Island 6 VIC 33Tennessee 5 WA 12Texas 14 Total 121Utah 7 Total unqiue 44Virginia 5Vermont 2 New Zealand (by city) CountWashington 8 Auckland 3Wisconsin 8 Wellington 3Total 350 Total 6Total unqiue 348 Total unqiue 6
Figure 24: Organic traffic and growth by geography
Source: SEMrush, Shaw and Partners analysis Asia = Hong Kong, India, Japan, Singapore, Taiwan, Vietnam. Europe = France, Germany, Italy, Russia, UK. Americas = Canada, USA. Oceania = Australia, New Zealand
Social media and video streaming services exposure
• Atomos has attracted a relatively large online presence across social media platforms.
• Over time, we envisage growth in the number of social media connections and
interactions as popularity of the Atomos brand and products continues to rise.
• We also note that Atomos is building somewhat of a cult following. Atomos products
were used in filming of popular movies including the latest releases of Pirates of the
Caribbean, James Bond 007, Star Wars and streaming TV shows including top rated
Earth at Night in Colour.
▪ We envisage that movie features such as these will serve to drive awareness,
brand perception and sales of Atomos over time.
▪ In our view, an opportunity exists for Atomos to enter paid partnerships with
various directors to drive penetration and adoption, especially in the Professional
and Entertainment segments.
Figure 25: Social media overview
Source: Facebook, Instagram, Twitter, YouTube, Shaw and Partners analysis (at April 2021)
1H21 1H21 1H21 1H21 1H21 1H21 2H21 2H21 2H21 2H21
Jul 2020 Aug 2020 Sep 2020 Oct 2020 Nov 2020 Dec 2020 Jan 2021 Feb 2021 Mar 2021 Apr 2021
SECTION 3: KEY ASSUMPTIONS AND FINANCIALS We model Atomos on a half-by-half basis and utilise drivers which include our revenue growth estimates by segment to generate our financial forecasts. We model Atomos over 10 financial years and see our
assumptions in general as being conservative, particularly in the context of the deep global opportunity and sector growth.
Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 17
Figure 32: Revenue by segment Figure 33: Revenue contribution by segment
Source: Company data, Shaw and Partners analysis Source: Company data, Shaw and Partners analysis
Figure 34: Social segment revenue Figure 35: Pro-Video segment revenue
Source: Company data, Shaw and Partners analysis Source: Company data, Shaw and Partners analysis
Figure 36: Entertainment segment revenue Figure 37: Revenue contribution by segment (1H21)
Source: Company data, Shaw and Partners analysis Source: Company data, Shaw and Partners analysis
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Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 18
Regions
• In addition to segments, Atomos also reports its revenue by region consisting of USA,
EMEA and Asia.
• USA is the largest contributor to revenue with 43% in 1H21. Concentration in the USA declined from its peak of 53% in 1H19 as a result of higher revenues in both EMEA and Asia which is positive in terms of diversification and exposure.
Figure 38: Revenue contribution by geography Figure 39: Revenue contribution by geography (1H21)
Source: Company data, Shaw and Partners analysis Source: Company data, Shaw and Partners analysis
3.2 Operating performance
Gross profit and gross profit margins
• Atomos currently delivers gross margins of ~45%, with cost of sales relating to product
manufacturing across the product suite (i.e. various components).
Figure 40: Gross profit and gross profit margins
Source: Company data, Shaw and Partners analysis
• We forecast a long-term sustainable gross margin approaching ~50%, however as
discussed in Section 1.4, we estimate the likelihood of higher gross margins as
premium margin software revenue starts to contribute to group performance.
50%53%
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Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 19
Operating expenses and EBITDA
• Atomos’ run rate annual cost base is currently ~$22m, which is mainly made up of
employee benefits expense, advertising and marketing and other opex (including
warranty and distribution costs).
Figure 41: Operating expenses
Source: Company data, Shaw and Partners analysis
• Atomos’ latest half saw positive EBITDA (post-R&D) of $3.0m at a 9.2% margin.
• We forecast EBITDA (post-R&D) of $6.6m, $10.2m and $17.0m across FY21e - FY23e
respectively as operating leverage emerges mainly due to a mature employee expense
base and efficient marketing function.
• We expect Atomos to spend ~$4.0m per year on R&D going forward which is broadly
in line with the historical trend, hence our forecasts are conducted on this basis.
Average 4.6x 4.4x 3.8x 26.7x 20.9x 15.6x 27.2x 23.2x 20.0x
Median 2.8x 2.7x 2.5x 21.5x 14.6x 13.7x 21.6x 22.9x 18.2x
AMS premium/(discount) to peers (all)
Premium/(discount) to average (5.1%) (39.0%) (42.8%) na 39.8% 22.9% na 282.0% 102.6%
Premium/(discount) to median 55.4% 0.8% (12.9%) na 100.8% 40.0% na 287.4% 122.3%
Peers (EV <$3bn)
Average 4.7x 4.5x 3.6x 40.4x 28.0x 16.4x na 21.3x 17.5x
Median 2.1x 1.7x 1.5x 38.4x 13.0x 10.4x na 20.3x 16.6x
AMS premium/(discount) to peers % (EV <$3bn)
Premium/(discount) to average (7.2%) (39.9%) (39.7%) na 4.4% 16.8% na 317.3% 131.2%
Premium/(discount) to median 102.6% 56.0% 43.0% na 125.4% 83.1% na 337.3% 144.0%1 All dollar figures expressed in AUD (including last price, market cap and EV)
EVPE RatioEV/Sales EV/EBITDA
CompanyCountry
(headquarters)
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price
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cap
Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 25
• In general, we note the following:
▪ Atomos trades at a historical EV/sales multiple of 4.3x, which represents a 5.1%
discount to the peer group’s latest average historical EV/sales multiple of 4.6x.
▪ Atomos trades at a forward EV/sales (2022) multiple of 2.2x, which represents a
42.8% discount to the peer group’s latest average forward EV/sales multiple of
3.8x.
▪ Although slightly loss making at EBITDA in FY20, Atomos trades at a forward
EV/EBITDA (2022) multiple of 19.1x, which represents a 22.9% premium to the
peer group’s latest average forward EV/EBITDA multiple of 15.6x.
• We see Atomos as having an above average organic revenue and earnings growth
profile over our forecast horizon relative to domestic and global listed peers.
• In order to derive the output for Atomos’ valuation of $1.33 per share on a target
EBITDA multiple basis, we applied a conservative EBITDA multiple of 20.0x on FY23e
EBITDA of $21.0m (pre-R&D), discounted at our WACC of 11.0%.
• We note that our forward EBITDA multiple assumption of 20.0x represents a significant
discount to the historical trading multiple of the peer set of 26.7x and a discount to the
average forward (2021) multiple of 20.9x.
Figure 58: Target EBITDA assumptions and output
Source: Shaw and Partners analysis
5.2 Discounted cash flow (DCF)
• In formulating our DCF we undertake ~10 years of financial forecasts and apply a
terminal value to our valuation to form our DCF output.
• We expect that Atomos has the potential to deliver significant gross margins, EBITDA
and free cashflows at scale and present our DCF key assumptions, output and
sensitivity below.
Figure 59: DCF assumptions and output
Source: Shaw and Partners analysis
• A key tenement in our investment thesis and forecasts is that the group has invested
materially in R&D, human capital and marketing.
• The net result of our DCF is a valuation of $1.62 per share. This is fully diluted and
inclusive of all options and performance rights outstanding.
Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 27
SECTION 6: SHARE STRUCTURE AND SHAREHOLDERS • Atomos was co-founded in 2010 by Jeromy Young and listed on the ASX in 2018, raising
$6.0m through the issuance of 14.6m shares at $0.41 per share. At the IPO issue price,
Atomos had a market capitalisation of $62.2m.
• Since listing in 2018, Atomos has been mostly funded through equity, having raised
$6.2m in FY19 and $41.0m in FY20. Atomos currently has 218.5m fully paid ordinary
shares and 8.7m options and performance rights on issue.
Figure 62: Total equity issued since IPO Figure 63: Share price
Source: Company data, FactSet Source: Company data, FactSet
• Institutional ownership for the material institutional owners makes up over 20% of the
share register. The largest institutional owner is Regal with 17.8m shares or 8.1% of
the register, followed by Ellerston and Perennial with 16.3m and 11.1m shares or 7.5%
and 5.1% of shares outstanding respectively.
• Insider ownership includes a holding of 10.9m shares by Domazet (HNW investor),
7.8m by Jeromy Young (Atomos Founder), 3.2m by Yurong Xi (HNW investor), 3.0m by
Huitong Song (HNW investor) and 1.7m by Hossein Yassaie (Atomos NED).
Figure 64: Institutional ownership and percentage Figure 65: Insider ownership and percentage
Source: Company data, FactSet, Shaw and Partners analysis Source: Company data, FactSet, Shaw and Partners analysis
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Domazet
JeromyYoung
YurongXi
HuitongSong
HosseinYassaie
- 2.0m 4.0m 6.0m 8.0m 10.0m 12.0m
Number of shares held
Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 28
SECTION 7: BOARD AND MANAGEMENT
7.1 Board
Chris Tait, Executive Chairman Chris has over 25 years of experience advising private and public companies on general strategic advice, M&A and raising capital. He has also held senior executive roles in a major public company, WHSmith where he was initially Director of Strategy and Acquisitions and then CFO of the Asia Pacific operations. Co-Founder and Managing Director of Henslow, an independent advisory firm and Corporate Adviser to Atomos.
Sir Hossein Yassaie, Non-Executive Director Sir Hossein has over 35 years of experience in specialised research and development and semiconductors and was Founder of Imagination Technologies and held the position of CEO for 18 years. Hossein received a knighthood in 2013 in recognition of his services to technology and innovation in the United Kingdom.
Stephen Stanley, Non-Executive Director Stephen has over 25 years’ experience in the Logistics sector in Australia, Asia, Europe and North America. Stephen was previously Director for Corporate Development for Toll Holdings from 1999 until 2012 and Non-Executive Director for Cabcharge Australia. Stephen is also currently Chairman for Ventura Motors.
7.2 Management
Jeromy Young, Founder Jeromy has over 20 years of technology and management experience in Japan, America, Europe and Asia. Jeromy commenced his career at Canopus (CV) Japan, where he became the Global Business Development Director. Jeromy then transitioned into a global BDM role at Blackmagic Design.
James Cody, CFO James has over 20 years of financial and accounting experience in both private and public businesses. James was previously CFO and Principal at Henslow, a corporate advisory firm in Melbourne. Prior to Henslow, James was CFO at Funtastic, an ASX listed supplier of children’s products with revenue of over $200m.
Trevor Elbourne, CTO Trevor has over 20 years of experience as a hardware engineer with particular focus on IC and ASIC design. At Atomos, Trevor started as a Senior Hardware Engineer before moving to Director of Systems Engineering. Previously, Trevor was Engineering and Hardware manager at Canon and various electronics firms.
Mark Harland, COO Mark has over 20 years of global leadership experience at General Motors with emphasis in operations, sales, marketing and customer experience. He has worked across a number of geographies including North America, Europe, Middle East and Asia. More recently, he was co-founder of an Electric Vehicle Subscription start-up. A native of Montreal, Canada and a permanent resident of Australia he holds an MBA from the New York Institute of Technology.
Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 29
SECTION 8: CORE DRIVERS AND CATALYSTS Our investment thesis for Atomos is driven by the following:
Product competitive advantages In our view and as validated by several independent sources, Atomos’ products are market leading in terms of quality, distribution, R&D capabilities and reputation. Given its current size and company culture, Atomos is agile and has the ability to has a proven ability to adapt to changing market conditions, implement new products and dynamically capitalise on market trends such as gaming.
New product launches Over and above growth in its existing product base, Atomos is planning new product launches including new categories (gaming), further ProRes RAW integrations and Series 2 product range releases. Additionally, partnership opportunities with the likes of Disney, Zoom, Netflix, Twitch, Cisco could also provide further upside opportunities. We also expect the new Ninja products announced in April 2021 to contribute to group sales going forward.
Shifting earnings profile and margins likely to emerge Recently launched software sales gives Atomos the ability to generate a new high gross margin earnings segment, thus providing greater depth to earnings. Our view is that software sales should be viewed as quasi-recurring and high margin, which is a potential re-rating catalyst for Atomos.
Video production and consumption tailwinds With users and penetration rising in all of Atomos’ segment (Social, Pro-Video and Entertainment) we see social media, gaming and video streaming continuing to drive adoption across all time horizons. Atomos gives video professionals a faster, superior quality and more affordable output which is highly sought after in the digital age driven by hypergrowth across streaming (Netflix), social media (Instagram and Facebook) and gaming (Twitch).
Operating leverage emerging against market leadership We anticipate material operating leverage as Atomos continues to scale its business after turning EBITDA and cashflow positive in 1H21 half. Shaw estimates significant operating leverage across the forecast spectrum as a result of a highly expandable business model across employee expenses, marketing and distribution.
Potential M&A and inbound interest Given Atomos’ significant traction in the monitor-recorder market and subsequent revenue growth, we see the potential for industry consolidation. Additionally, given its increasing growth profile and global exposure, Atomos may also attract acquisitive interest from larger competitors or video sector participants.
Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 30
SECTION 9: KEY RISKS Risks to our investment thesis include although are not limited to:
Technological change We see Atomos’ products and software as purpose built and technologically superior to other products in their key markets. However, this may not always be the case due to technological changes. These changes may lead to a requirement for Atomos to redevelop its products or software in order to meet dynamic user and market requirements.
Competition Whilst we view Atomos’ product as broadly differentiated, new competition or intensified competition from existing operators may result in margin erosion, or even loss of existing Resellers or a reduction in customer uptake and loyalty.
Supply chain disruption Atomos relies upon a reliable supply chain relating to components that are core to its various products. There is a risk that supply of certain components is either constrained or ceased, which would result in negative impacts to production and therefore sales and revenue.
Intellectual property protection The products and software of Atomos require the identification and protection of the requisite intellectual property upon which they are built and developed. An inability to successfully protect their intellectual property rights may result in a loss of competitive edge, or even costly legal and administrative proceedings. Cash burn From time-to-time Atomos has delivered negative cash flows and is may deliver negative cash flows across future periods as a result of growth and investment. There is risk that Atomos delivers negative or volatile cashflows. Therefore, there is no guarantee that Atomos will be able to continue financing the business or that the group will reach a material and sustainable level of profitability.
International operations Atomos is a global company with offices, staff, customers and suppliers all over the world, with key jurisdictions consisting of USA, EMEA and Asia. Given the multitude of risks, differing regulatory requirements, currency translations and general geographic risk, there is no guarantee that Atomos has the team, resources or skills to navigate their key markets.
Small cap illiquidity and volatility As a small cap company, Atomos exhibits higher levels of volatility and lower liquidity than the broader market in general. This beta is magnified during periods of market upheaval, such as the current Covid environment.
Key board / management risk Atomos’ key management have a deep knowledge of the company’s product and markets. Failure to retain and grow executive talent may adversely impact the group’s growth. Moreover, this risk is elevated for businesses experiencing material growth over a short time horizon, such as Atomos.
Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 31
Rating Classification
Buy Expected to outperform the overall market
Hold Expected to perform in line with the overall market
Sell Expected to underperform the overall market
Not Rated Shaw has issued a factual note on the company but does not have a recommendation
Risk Rating
High Higher risk than the overall market – investors should be aware this stock may be speculative
Medium Risk broadly in line with the overall market
Low Lower risk than the overall market
RISK STATEMENT: Where a company is designated as ‘High’ risk, this means that the analyst has determined that the risk profile for this company is
significantly higher than for the market as a whole, and so may not suit all investors. Clients should make an assessment as to whether this stock
and its potential price volatility is compatible with their financial objectives. Clients should discuss this stock with their Shaw adviser before making
any investment decision.
Distribution of Investment Ratings
History of Investment Rating and Target Price - Atomos Ltd
Shaw and Partners AMS – Equity Report current as at –30/04/2021–Pg. 32
Disclaimer
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