On Friday, I was lucky enough to join David Koch and Rudi Filapek-Vandyck for The Call on Ausbiz.
As supporters will know, I own shares in two of the companies mentioned, being Rightcrowd (ASX: RCW) and Playside Studios (ASX: PLY). In the excerpt below, you can catch up on my latest thoughts on these two high risk, high reward stocks.
Neither company could be considered a pure software company, in the sense that Rightcrowd does rely on hardware (to manage visitors to secure areas), and Playside relies on its own intellectual property to achieve better margins from its game development.
However, what the businesses have in common is a faster growing segment somewhat hidden by a slower growth segment. For Playside, the revenue from its own games is increasing faster than revenue from developing games for others. For Rightcrowd, the new products segment is growing faster than its core products, due to the new products assisting with contract tracing.
Notably, Rightcrowd has this morning gone into trading halt for another capital raising. It will be interesting to see how the company justifies the move since it already has some cash on the balance sheet.
You can watch the video on Playside and Rightcrowd on youtube or simply watch below:
This article documents some of the factors influencing a company’s share price, but the article is not intended financial advice, it is general in nature, and our disclaimer is here. Claude owns shares in PLY and RCW.