Collective Audience Share Price Trajectory Steepens…Here’s Why

Collective Audience, Inc. (NASDAQ: CAUD) is coming out from under the radar. And deservedly so. In fact, its share price’s over 50% increase in February may be the precursor to much higher gains, especially as CAUD continues to make its presence known in an audience-based performance advertising and ad-tech sector that’s forecast to reach $2.9 trillion by 2031. Yes, trillion – that is, a million million, or a thousand billion.

Pointing out the sheer magnitude of a trillion-dollar market potential is essential, especially at a time when the once thought of as impossible mission to become a billionaire has been scored by an ever-growing number of people. And for those skeptical that a trillion-dollar market cap could ever be achieved within our lifetimes, recent developments have proven otherwise. Not only have giants such as Alphabet (NASDAQ: GOOG), Amazon (NASDAQ: AMZN), and NVIDIA (NASDAQ: NVDA) breached that metric, but all are now approaching valuations closer to two trillion than one. 

In other words, the world’s been changing, and it’s happening right before our eyes. But, like most anything, people tend to see what they want to see, making it easy to inadvertently overlook the truly game-changing shifts in global business and lifestyle landscapes. One of those factors deserving more nuanced attention is how artificial intelligence, including the peripheries around it, is disrupting the way companies do business. In turn, the investment opportunities exposed by forward-thinking companies like Collective Audience, which capitalize on massive revenue-generating potential by being in the right sector with the right products at the right time, can be just as important. For a company like CAUD, valued at roughly $15.4 million on Friday, earning just a tiny slice of the market potential can be transformative. 

Technologies That Can Drive Tremendous Near-Term Growth

However, CAUD is looking to collect more than just market leftovers. The company is actively leveraging a products and services arsenal that can support earning the spoils that come with a leadership position. To ensure they stay on track, CAUD has assembled a leadership team comprised of a Who’s Who list of best-in-industry overachievers, all of whom can help turn sales ambitions into tangible revenues. The company’s recently announced addition of Peter Bordes as CEO complements that list.

Wall Street knows him well – and for all the right reasons. For investors who don’t and are evaluating the CAUD value proposition, pay attention: Bordes may help close the disconnect between his company’s assets, potential, and share price sooner rather than later. There’s plenty to appreciate in the link above, but the simplest reason for investors to embrace his leadership is that he has a proven track record of making small companies bigger. In most cases, substantially so. Combining former achievements with his expressed excitement to be a part of the impressive CAUD team, which is flush with some of the world’s brightest business minds, the tools are already in place to make history repeat. That may sound like an ambitious expectation, but it’s important to understand what Bordes brings to the company. 

His skill set, in particular, brings immediate benefits to CAUD. He is a lifelong entrepreneur, operator, and venture investor with over 30 years of executive and board experience leading private and public companies across the AdTech, media, AI, fintech, and technology sectors. His resume gets better, especially when noting he has been recognized among the nation’s TOP 100 most influential angel investors. Bordes’s focus on innovation and disruptive technologies has done more than help fund and scale numerous companies from startup to successful; his contributions also helped shape the digital revolution. 

Frankly, his story can fill an entire book detailing the world’s transformation to digital. So, take the time to read the profile in the link provided. After you finish, you’ll understand the rationale behind the many who are saying CAUD has captured one of the digital sector GOATs and, by doing so, has positioned itself to become one of the most dynamic and influential companies in its target markets. 

A Running Start Toward Reaching an Envied Position 

CAUD’s potential stems not only from a team of experts leading the charge, but also from a products and services arsenal far more impressive and valuable than its current market cap and share price represent. What’s missing from its current share price goes well beyond overlooking its leadership team. In many opinions, it also fails to fairly appraise the value inherent to CAUD having the assets in place to target its multi-trillion dollar market opportunities. That includes the intrinsic value added after CAUD announced completing the business combination with DLQ, Inc., a former subsidiary of Logiq, Inc (OTCQX: LGIQ), and Abri SPAC I, Inc., a special purpose acquisition company that previously traded on NASDAQ that held an over $64 million market cap – nearly 4X higher than CAUD’s current. 

Analysts may soon cover the stock, a likely proposition after CAUD debuted on the NASDAQ market in November 2023. There are certainly plenty of assets to model and, as importantly, show how they can effectively drive revenues in a massive ad-tech sector. A bullish view could send CAUD stock prices soaring, considering that only about 13.73 million shares are O/S, with roughly 83% of those tightly held by insiders and another 5.2% owned by institutional investors. That leaves a relatively small number of shares in the public float, a consideration that can help fuel a rally and, better still, sustain it.

The bullish speculation is more than warranted; it’s justified, especially with the adtech sector earning significant attention from both retail and institutional investors. That’s being fed by growing interest in companies that are lining up to keep pace with technology changes, which need an ally like CAUD to help them make better use of their ad budgets by leveraging its expertise to more effectively and quickly monetize their content. While the ad-tech sector is expected to reach trillion-dollar levels in less than eight years, it’s already substantial, estimated at $748 billion in revenue-generating potential just three years ago. Factoring in its expected CAGR of 14.7% into the next decade, the case for CAUD bulls gets appreciably stronger, especially noting the company’s combined services and platform designed to identify, convert, and monetize the collective audience of leading brands and publishers.

Collective Audience Is in the Right Place at the Right Time

The sum of those abilities puts CAUD in an enviable spot to grow bigger and faster than even the staunchest CAUD bulls might expect. That case is supported by CAUD targeting lucrative opportunities alongside some of the world’s largest companies, including Meta (NASDAQ: META) and those mentioned, which rely almost exclusively on ad revenues for top and bottom-line growth. But while the large caps may have the means to fend off potential problems in the competitive landscape, thousands of other companies, especially smaller ones, do not have the financial or technical resources to keep pace with changes. Their challenge can be significant value drivers for CAUD. What’s even more promising is that CAUD can provide services that others can’t, underscoring its potential in a market experiencing soaring demand.

For instance, CAUD competitors like The Trade Desk (NASDAQ: TTD), PubMatic (NASDAQ: PUBM), and Magnite (NASDAQ: MGNI), as good as they are in their respective target markets, certainly can’t handle the entirety of the market demand. Even factoring in the niche-focused companies like Digital Turbine (NASDAQ: APPS) and DoubleVerify (NYSE: DV), while helpful, still leaves massive revenues for the taking. What others leave, and from its competitive advantages, CAUD intends to earn.

That’s no coincidence. As a U.S.-based provider of e-commerce and digital customer acquisition solutions that simplify digital advertising, CAUD’s proof of concept and performance are drawing the right eyes. The company’s innovative, data-driven, end-to-end solutions make it a compelling choice for facilitating access to data and activating campaigns across multiple channels. 

CAUD’s digital marketing business includes a holistic, self-serve adtech platform, a proprietary data-driven and AI-powered system that enables brands and agencies to advertise across thousands of the world’s leading digital media and connected TV platforms. All of that’s important. Remember, digital marketing is widely considered the optimal solution for companies to communicate with prospective and existing customers to create business and brand awareness. Its value extends further as digital marketing provides an easy way for companies to get creative and stand out from competitors in congested markets. That combined value isn’t going unnoticed.

On the contrary, it’s led to significant adtech spending, with many companies targeting their customers’ time spent on social media platforms like TikTok and Instagram. While those services are home to millions of users, further placement in apps, retail media, and gaming environments can add billions of additional viewers’ eyes. That’s opened the door for ad tech providers and programs to reach consumers through new forms of retail media, connected television, and E-commerce channels that generate specific metrics and attribution models. 

Thus, as a rising player with a particular focus, CAUD is ideally positioned to capitalize on these diverse market potentials by providing customers with the tools and abilities to bring their audience objectives to life quickly and effectively. Harnessing that combined power, CAUD provides the means for its clients to compete more efficiently by creating a channel focused on its most valuable asset: their audience.

Seizing a CAUD Price to Assets Valuation Disconnect

Providing that ability does more than benefit clients; it also benefits CAUD. Therefore, investors should appraise CAUD not merely based on its individual parts but rather as a sum of them. In that respect, current share prices expose a value disconnect worth seizing, especially when factoring in the new revenue-generating assets added and a management team that has proven itself extremely capable of creating enormous shareholder value. 

With these factors in mind, CAUD presents a compelling value investment proposition. And while many are taking advantage of its low share price, the opportunities at these ground floor levels may not last much longer, considering the steepening demand curve created by a new era of internet and consumer landscapes that make adtech – and the facilitators behind the space – an invaluable competitive tool. With its recent merger completed, CAUD can provide service and platform relief to clients. However, know that CAUD clients aren’t the only potential winners. At $1.11 to open the new trading week, and even after its 50% increase since the start of February, investors can be, too. 

Disclaimers: This is sponsored content. Hawk Point Media Group, Llc. (HPM) is responsible for the production and has been compensated $10,000 by OEJ Enterprises to distribute and syndicate this content. Hawk Point Media Group, Llc. is not operated by a licensed broker, a dealer, or a registered investment adviser. It should be expressly understood that under no circumstances does any information published herein represent a recommendation to buy or sell a security. Our reports/releases are a commercial advertisement and are for general information purposes ONLY. The contributors do NOT buy and sell securities covered before or after any particular article, report and/or publication. HPM holds ZERO shares and has never owned stock in Collective Audience Inc. Any reproduction, duplication, or re-syndication of this content MUST include the linked-to disclaimer and disclosure statement, including financial compensation received, which can be found by clicking HERE. Any publication or redistribution of this content without expressed written permission and/or without the disclaimer and disclosure statement included is strictly prohibited.