Spotlight Growth
No Result
View All Result
Saturday, August 13, 2022
  • Login
  • Home
  • News
    • Bio/Med/Pharma
    • Cannabis
    • Commodities
    • Consumer Goods
    • Crowdfunding
    • Cryptocurrency
    • Crypto Cheat Sheets
    • Earnings
    • Entertainment
    • Financials
    • Market News
    • Opinion
    • Politics
    • Technology
    • Venture Capital/Private Equity (VC/PE)
  • Video
  • Stock and Crypto Screener
  • Home
  • News
    • Bio/Med/Pharma
    • Cannabis
    • Commodities
    • Consumer Goods
    • Crowdfunding
    • Cryptocurrency
    • Crypto Cheat Sheets
    • Earnings
    • Entertainment
    • Financials
    • Market News
    • Opinion
    • Politics
    • Technology
    • Venture Capital/Private Equity (VC/PE)
  • Video
  • Stock and Crypto Screener
No Result
View All Result
No Result
View All Result
Home Consumer Goods

This Company is Following the Amazon.com, Inc. (NASDAQ: AMZN) Disruptor Playbook

by admin
September 13, 2020
in Consumer Goods, Sponsored
0
This Company Following Amazon NASDAQ AMZN Disruptor

This Company Following Amazon NASDAQ AMZN Disruptor

Amazon.com, Inc. (NASDAQ: AMZN) is one of the greatest business success stories of all-time. In just over 25 years, Amazon has gone from an online bookstore to a massive conglomerate who’s influence can be felt across nearly every industry.

However, Amazon’s influence and disruption across retail and consumerism will forever be its legacy. By creating one the largest and most valuable digital marketplaces on the internet, Amazon led a revolution that continues to up-end traditional brick-and-mortar retail.

Amazon’s track record and rise to become one of the world’s most valuable companies can be viewed as the “Amazon Disruptor Playbook.” One company that effectively appears to be following Amazon’s playbook of disruption is Mohawk Group Holdings, Inc. (NASDAQ: MWK).

Amazon Disruptor Play #1: Leverage Technology to Build Proprietary Assets

Mohawk Group has disruption infused within its corporate DNA. Founded on the idea of bringing consumer packaged goods (CPGs) into the future, Mohawk Group can be described as the offspring of tech and consumer goods companies. Think a combination of Google and Unilever, and you have Mohawk Group.

Source: Mohawk Group
Source: Mohawk Group

The company’s proprietary artificial intelligence platform, AIMEE, is one of the most key advantages that Mohawk Group has over others. AIMEE’s diverse capabilities include measuring, monitoring, and predicting consumer trends. Using various data points, AIMEE can help the management team find emerging trends to capitalize on. Once a promising emerging trend is identified and vetted, the company can work with its manufacturing partners to develop the product.

With relation to the Amazon Disruptor Playbook, Mohawk Group’s utilization of AIMEE is similar to Amazon’s development of its online marketplace. Both companies have leveraged technology to build out proprietary solutions that are producing strong results and disrupting the status quo.

Mohawk Group’s recent second quarter 2020 earnings fully supports this thesis, as the company saw net revenues soar 97% year-over-year and reported positive adjusted EBITDA for the first time.

Amazon Disruptor Play #2: Licensing Proprietary Technology

Mohawk Group’s AIMEE is a tried-and-true, battle-tested platform that has been the growth engine for the company. The Financial Times listed Mohawk Group as the 114th (out of 500) fastest growing companies across North and South America in 2020.

With AIMEE building buzz and a reputation for success, Mohawk Group is entering the second stage of the disruption playbook: licensing its proprietary technology.

As Amazon’s online marketplace grew, so did interest from third-party sellers to use the platform for their sales efforts. This continues to be a major opportunity for Amazon to expand cash flow without taking on any additional major liability or overhead. Instead, Amazon allows third party sellers to list their approved products on its marketplace and charge a commission from all sales generated through its platform.

Source: Newsbreak
Source: Newsbreak

In 2019, 60% of all sales on Amazon.com came from third parties. While Amazon’s other business units like AWS may get more attention from investors, third party sales commissions are a significant portion of Amazon’s top-line.

One could make the argument that as AIMEE’s success story spreads, so could the interest from third party sellers to utilize the AI platform to locate trends relevant to their businesses. This effectively means AIMEE can be licensed out to third parties as a Software-as-a-Service (SaaS) offering.

Mohawk Group does have a few SaaS clients, as they have previously disclosed, but this is a major growth opportunity for MWK that is largely not recognized by investors yet. The company is still in the early stages of leveraging AIMEE for SaaS services, but it could become a massive source of growth and cash flow for Mohawk Group.

Wall Street Analysts Maintain “Strong Buy” Rating, Average Price Target of $16.25

The analysts covering Mohawk Group have become increasingly bullish through 2020, as the company continues to achieve meaningful operational success. Currently, there are four Wall Street analysts covering the company, with a consensus rating of “strong buy” and an average price target of $16.25. From current levels, the average price target represents potential upside of 111.31%.

Source: TipRanks
Source: TipRanks

However, once you break down each individual analyst’s price target, an interesting bit of information is discovered. The only five-star analyst covering Mohawk Group, Tom Forte of DA Davidson, also has the Street high price target of $21, which represents even further upside of over 173%.

Source: TipRanks
Source: TipRanks

Forte’s bullishness reflects the “impact of the company’s acquisition of Truweo after Mohawk raised its revenue guidance by $5M at the midpoint while maintaining his positive EBITDA outlook for the upcoming quarter and FY20.”

Overall, Mohawk Group’s proprietary artificial intelligence platform is a dual-threat that can help the company expand its CPG business, as well as serve as a SaaS cash flow generator. Mohawk Group seems to be executing Amazon’s disruption playbook on a high-level, given the financial results the company has reports thus far into 2020. The AIMEE platform is a disruptor, a game-changer. As the strong results and recognition continue to roll in for AIMEE, Mohawk Group could see strong growth from third parties wanting to leverage its capabilities to expand their business. Simply put, Mohawk Group is the CPG company of the future.

Disclaimer:

Spotlight Growth is compensated, either directly or via a third party, to provide investor relations services for its clients. Spotlight Growth creates exposure for companies through a customized marketing strategy, including design of promotional material, the drafting and editing of press releases and media placement.

All information on featured companies is provided by the companies profiled, or is available from public sources. Spotlight Growth and its employees are not a Registered Investment Advisor, Broker Dealer or a member of any association for other research providers in any jurisdiction whatsoever and we are not qualified to give financial advice. The information contained herein is based on external sources that Spotlight Growth believes to be reliable, but its accuracy is not guaranteed. Spotlight Growth may create reports and content that has been compensated by a company or third-parties, or for purposes of self-marketing. Spotlight Growth was compensated five thousand dollars by Mohawk for the creation and dissemination of this content by the company.

This material does not represent a solicitation to buy or sell any securities. Certain statements contained herein constitute “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may include, without limitation, statements with respect to the Company’s plans and objectives, projections, expectations and intentions. These forward-looking statements are based on current expectations, estimates and projections about the Company’s industry, management’s beliefs and certain assumptions made by management.

The above communication, the attachments and external Internet links provided are intended for informational purposes only and are not to be interpreted by the recipient as a solicitation to participate in securities offerings.  Investments referenced may not be suitable for all investors and may not be permissible in certain jurisdictions.

Spotlight Growth and its affiliates, officers, directors, and employees may have bought or sold or may buy or sell shares in the companies discussed herein, which may be acquired prior, during or after the publication of these marketing materials. Spotlight Growth, its affiliates, officers, directors, and employees may sell the stock of said companies at any time and may profit in the event those shares rise in value. For more information on our disclosures, please visit: https://spotlightgrowth.com/disclosures/

Tags: acquisitionAIMEEAmazonAMZNamzn stockappsArtificial Intelligencecommon stockCPGday tradersemerging growthinvestinginvestmentmachine learningmicrocap stocksmobileMohawk GroupMWKMWK stockNASDAQNASDAQ stocksnewspenny stockpenny stockspublic companyRobinhoodRobinhood traderssalesservicessmall cap companiessmall cap stockssmall capssmall stocksstock marketstocksstocks to watchswing tradingtechtechnology stockstradingwebullwebull traders
Plugin Install : Widget Tab Post needs JNews - View Counter to be installed
  • Trending
  • Comments
  • Latest
Siyata Mobile NASDAQ SYTA SYTAW SD7 VK7 Purchase Orders Spotlight Growth

New Purchase Orders for SD7 Rugged Device, VK7, and Other Accessories Boost Siyata Mobile’s Outlook (NASDAQ: SYTA)

December 14, 2021
Telcoin TEL Crypto Spotlight Growth

Telcoin (TEL) Quietly Leads a Crypto Remittance Revolution

June 15, 2021
Decentraland (MANA) is the Proof of Concept for the Emerging Metaverse

Decentraland (MANA) is the Proof of Concept for the Emerging Metaverse

November 22, 2021
Alfi NASDAQ ALF Ridesharing Tablet Rollout Spotlight Growth

Alfi, Inc. (NASDAQ: ALF) Climbs 51% After Entering Into Agreement with Miami-Based Fulfillment & Distribution Center For its Ridesharing Digital Tablet Rollout

June 15, 2021
Cybersecurity Stocks Coming Into Focus Amid High-Profile Attacks

Cybersecurity Stocks Coming Into Focus Amid High-Profile Attacks

0
Safe-T SFET NASDAQ UN Presentation

Safe-T (NASDAQ: SFET) Has Been Selected to Present at the United Nations’ Office of Information and Communications Technology Event

0
Safe-T Group SFET Q4 FY 2020 Financial Results

Safe-T Group (NASDAQ: SFET) Reports Fourth Quarter and Full Year 2020 Financial Results

0
Safe-T Group NASDAQ SFET FY 2020 Prelim

Safe-T Group Ltd. (NASDAQ: SFET) Estimates Record-High Annual Revenues of Approximately $4.9 Million Representing ~50% Growth YoY 2020

0
Twin Vee PowerCats NASDAQ VEEE Q2 2022 Financial Results Spotlight Growth

Twin Vee PowerCats (NASDAQ: VEEE) Releases Q2 2022 Results Showing 158% Increase in Revenue, Completes Spin-Off of Forza X1 (NASDAQ: FRZA)

August 12, 2022
Is Uber Technologies NYSE UBER Finally Investible Spotlight Growth

Is Uber (NYSE: UBER) Finally Investable?

August 11, 2022
Vacasa NASDAQ VCSA Q2 2022 Financial Results Spotlight Growth

Vacasa (NASDAQ: VCSA) Releases Second Quarter 2022 Financial Results Showing 31% Revenue Growth, Raises Full-Year 2022 Guidance After Strong Results

August 11, 2022
Allied Corp OTCQB ALID Shipment of Colombia Cannabis to Switzerland Spotlight Growth

Allied Corp (OTCQB: ALID) Successfully Ships 1728kgs of Colombian-Grown Commercial Cannabis Flower to Switzerland

August 11, 2022

Recent News

Twin Vee PowerCats NASDAQ VEEE Q2 2022 Financial Results Spotlight Growth

Twin Vee PowerCats (NASDAQ: VEEE) Releases Q2 2022 Results Showing 158% Increase in Revenue, Completes Spin-Off of Forza X1 (NASDAQ: FRZA)

August 12, 2022
Is Uber Technologies NYSE UBER Finally Investible Spotlight Growth

Is Uber (NYSE: UBER) Finally Investable?

August 11, 2022

Categories

  • Bio/Med/Pharma
  • Cannabis
  • Commodities
  • Consumer Goods
  • Crowdfunding
  • Crypto Cheat Sheets
  • Cryptocurrency
  • Earnings
  • Entertainment
  • Financials
  • Market News
  • Opinion
  • Politics
  • Real Estate
  • Split Watch
  • Sponsored
  • Store
  • Technology
  • Uncategorized
  • Venture Capital/Private Equity (VC/PE)

Site Navigation

  • Disclosures
  • Terms Of Service
  • Privacy Policy
  • Contact Us
Spotlight Growth

Copyright © 2021 Spotlight Growth. All Right Reserved. Designed by Cool Cat Interactive.

No Result
View All Result
  • Home
  • News
    • Bio/Med/Pharma
    • Cannabis
    • Commodities
    • Consumer Goods
    • Crowdfunding
    • Cryptocurrency
    • Crypto Cheat Sheets
    • Earnings
    • Entertainment
    • Financials
    • Market News
    • Opinion
    • Politics
    • Technology
    • Venture Capital/Private Equity (VC/PE)
  • Video
  • Stock and Crypto Screener

Copyright © 2021 Spotlight Growth. All Right Reserved. Designed by Cool Cat Interactive.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
Newsletter Signup

Subscribe to our weekly newsletter below and never miss the latest small/micro-cap analysis and investment news from Spotlight Growth.

Enter your email address

Thanks, I’m not interested