Better Collective was first listed on the Nasdaq Stockholm stock exchange on the 8th of June 2018. The Better Collective Share Price closed at 68 SEK on the first day of trading, resulting in a market cap of approximately 1.8 bn SEK.
Products, Services & Brands
Founded in 2004, Better Collective, is one of the leading media companies in the igaming industry. Better Collective’s business model is to generate revenue through affiliate marketing, which generally is a very profitable business model. They own over 2,000 brands with over 7,000,000 visitors to their brands each month, which puts them in a very strong position with some the other competitors in the industry such as Catena Media. Some of Better Collective’s brands include bettingexpert.com, SmartBets, BettingExpertLive, Discover Slots, Bonus Code Bets.
Their site visitors each month get recommendations, reviews and forum discussions on betting operators and tips for bets to place. The main products they cover is sports & casino, however they also have review sites on financial product recommendations. If a visitor on one of Better Collective’s brands is redirected to a partner and signs up, then Better Collective receives a referral reward. This completes their business funnel, and are rewarded for sending relevant customers to their clients. The financial return is generally based on one of or a mixture of the following type of payments; fixed fees, revenue share and cost per acquisition.
In 2017 they grew their gross revenues by 51% to 26,257,000 EUR, and are a highly profitable business with an EBITDA % of 40%.
As at 15th June 2018, the market cap for Better Collective is 1.818Bn SEK which is equivalent to 178m EUR. The market cap is calculated by multiplying Better Collective Share Price by the number of shares.
For our readers we’ve calculated two multiples for you to be able to compare with other similar companies. We’ve compared the market cap divided by the gross revenue for the previous financial year (Gross Revenue X), and the market cap divided by the EBITDA for the previous financial year (EBITDA X). The results for the two metrics were as follows;
- Gross Revenue X is 6.78
- EBITDA X is 16.94
This compares positively with other media companies in the gaming industry, whose metrics are similar. As an example, Catena Media, has a Gross Revenue X of 8.82, and EBITDA X of 16.52. These multiples obviously fluctuate through the financial year as the Better Collective share price changes, as well as expected revenues from the company.
Changes to Better Collective Share Price
Throughout the financial year there are events that impact a company’s share price. We expect that the main changes effecting the Better Collective Share Price will be;
- Mergers & Acquisitions of other companies
- Quarterly & Yearly Financial Results
- Entrance into new products, or markets. This could be through mergers & acquisitions
- Changes in gaming regulation and legislation in key countries
There are also generic events that can impact the Better Collective Share Price or any other share price;
- Global or Local financial & stock market confidence
- Foreign exchange fluctuations
- Extreme ‘black swan’ events such as extreme weather
We recommend that when assessing your view on the Better Collective Share Price you take into consideration several aspects of the business;
- The current financial data
- Any significant events coming in the short or long term
- Long term goals of the company
- The industry the company operates within
- Risks the company has and what they are doing to mitigate them
- Opportunities the company
- The company’s capability to perform on and or above established targets and objectives
- Global or local news that can impact the company share price
General Share Price Information
As a company listed on Nasdaq Stockholm, Better Collective will apply and be subject to all relevant regulation. There is the Danish Companies ACT, the company’s articles of association, together with internal rules and instructions. Nasdaq Stockholm listed companies also need to adhere to the Nasdaq Stockholm’s Rule Book for Issuers. As this is within Sweden, there are additional Swedish Corporate Governance Codes, and statements of the Swedish Securities Council on good practical in the stock market to follow.
The most important intention of Better Collective’s Investor Relations is to give funding market participants and other stakeholders with timely and accurate advice that guarantees a reasonable market value of their BETCO share. Our purpose is to convey a neutral and well-defined investment narrative to many stakeholders, such as networking.