New Risk • Oct 30
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of Italian stocks, typically moving 5.0% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 5.4% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (5.0% average weekly change). Market cap is less than US$100m (€26.7m market cap, or US$28.4m). Reported Earnings • Sep 25
First half 2023 earnings released: €0.16 loss per share (vs €0.087 profit in 1H 2022) First half 2023 results: €0.16 loss per share (down from €0.087 profit in 1H 2022). Revenue: €2.70m (up 20% from 1H 2022). Net loss: €1.71m (down 280% from profit in 1H 2022). Over the last 3 years on average, earnings per share has increased by 15% per year but the company’s share price has fallen by 11% per year, which means it is significantly lagging earnings. Price Target Changed • Sep 22
Price target decreased by 19% to €4.20 Down from €5.20, the current price target is provided by 1 analyst. New target price is 54% above last closing price of €2.72. Stock is down 15% over the past year. The company is forecast to post a net loss per share of €0.18 next year compared to a net loss per share of €0.11 last year. New Risk • Jul 07
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 20% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Minor Risks Shareholders have been diluted in the past year (20% increase in shares outstanding). Market cap is less than US$100m (€40.0m market cap, or US$43.8m). Price Target Changed • Jun 16
Price target decreased by 10% to €5.20 Down from €5.80, the current price target is provided by 1 analyst. New target price is 72% above last closing price of €3.03. Price Target Changed • Nov 16
Price target decreased to €5.80 Down from €6.50, the current price target is provided by 1 analyst. New target price is 74% above last closing price of €3.33. Stock is down 15% over the past year. The company is forecast to post a net loss per share of €0.15 next year compared to a net loss per share of €0.30 last year. Reported Earnings • Sep 23
First half 2022 earnings released: EPS: €0 (vs €0.10 loss in 1H 2021) First half 2022 results: EPS: €0 (improved from €0.10 loss in 1H 2021). Revenue: €2.11m (up 77% from 1H 2021). Net income: €950.0k (up €1.75m from 1H 2021). Profit margin: 45% (up from net loss in 1H 2021). Price Target Changed • Aug 18
Price target decreased to €5.80 Down from €6.50, the current price target is provided by 1 analyst. New target price is 73% above last closing price of €3.35. Stock is down 15% over the past year. The company is forecast to post a net loss per share of €0.15 next year compared to a net loss per share of €0.30 last year. Price Target Changed • Apr 27
Price target decreased to €5.80 Down from €6.50, the current price target is provided by 1 analyst. New target price is 65% above last closing price of €3.52. Stock is down 20% over the past year. The company posted a net loss per share of €0.30 last year. Board Change • Apr 27
Less than half of directors are independent There is 1 new director who has joined the board in the last 3 years. The new board member was not an independent director. The company's board is composed of: 1 new director. 10 experienced directors. 1 highly experienced director. 1 independent director (11 non-independent directors). Non-Executive Director Alessio Gasperini was the last director to join the board, commencing their role in 2020. The following issues are considered to be risks according to the Simply Wall St Risk Model: Minority of independent directors. Insufficient board refreshment. Reported Earnings • Apr 16
Full year 2021 earnings: EPS and revenues exceed analyst expectations Full year 2021 results: €0.30 loss per share. Revenue: €2.92m (up 12% from FY 2020). Net loss: €3.35m (loss widened 33% from FY 2020). Revenue exceeded analyst estimates by 11%. Earnings per share (EPS) also surpassed analyst estimates by 100%. Price Target Changed • Oct 26
Price target decreased to €5.80 Down from €6.70, the current price target is provided by 1 analyst. New target price is 41% above last closing price of €4.12. Stock is up 9.0% over the past year. The company posted a net loss per share of €0.34 last year. Duyuru • Jun 25
Digital Magics S.p.A. announced that it expects to receive €4 million in funding Digital Magics S.p.A. (BIT:DM) announced a private placement of a maximum of 800,000 shares at a price of €5 each for gross proceeds of €4,000,000 on June 24, 2021. The transaction has been approved by the shareholders of the company at the general meeting. Duyuru • Apr 28
Digital Magics S.p.A. (BIT:DM) agreed to acquire The Doers Communications Ltd. Digital Magics S.p.A. (BIT:DM) agreed to acquire The Doers Communications Ltd on April 26, 2021. The consideration would be paid in kind. Digital Magics to propose capital increase of up to €1 million to pay for deal. Reported Earnings • Mar 26
Full year 2020 earnings released The company reported a poor full year result with increased losses, weaker revenues and weaker control over costs. Full year 2020 results: Revenue: €2.76m (down 7.5% from FY 2019). Net loss: €2.51m (loss widened 11% from FY 2019). Is New 90 Day High Low • Feb 11
New 90-day high: €4.16 The company is up 23% from its price of €3.38 on 13 November 2020. The Italian market is up 12% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Capital Markets industry, which is up 14% over the same period. Duyuru • Jan 08
LinUp srl acquired Eclettica S.r.l from Digital Magics S.p.A. (BIT:DM) and others LinUp srl agree to acquire Eclettica S.r.l. from Digital Magics S.p.A. (BIT:DM) and others in July 2020.
LinUp srl completed the acquisition of Eclettica S.r.l. from Digital Magics S.p.A. (BIT:DM) and others on January 6, 2021.. Is New 90 Day High Low • Oct 29
New 90-day low: €3.32 The company is down 17% from its price of €4.00 on 30 July 2020. The Italian market is down 8.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Capital Markets industry, which is down 7.0% over the same period. Is New 90 Day High Low • Oct 02
New 90-day low: €3.72 The company is down 9.0% from its price of €4.08 on 03 July 2020. The Italian market is down 3.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Capital Markets industry, which is down 5.0% over the same period. Reported Earnings • Sep 27
First half earnings released Over the last 12 months the company has reported total losses of €1.91m, with earnings decreasing by €2.55m from the prior year. Total revenue was €2.83m over the last 12 months, largely unchanged from the prior year. Duyuru • Sep 09
Klarna Bank AB (publ) completed the acquisition of Moneymour from Giacomo De Lorenzo, Michele Giannotta, Digital Magics S.p.A. (BIT:DM) and Reale Group Corporate Venturing. Klarna Bank AB (publ) entered into an agreement to acquire Moneymour from Giacomo De Lorenzo, Michele Giannotta, Digital Magics S.p.A. (BIT:DM) and Reale Group Corporate Venturing on February 12, 2020. As of February 13, 2020, Digital Magics S.p.A. sold its stake to Klarna Bank and the consideration for the purchase of the stake will be paid by Klarna at the same time as the closing. Post-completion, Moneymour's operations will be integrated into Klarna. Giacomo De Lorenzo and Michele Giannotta will remain involved in Moneymour. Through the acquisition, Klarna gains access to intellectual property to further improve underwriting capabilities and additional expertise and competence as the full Moneymour team will join Klarna. The transaction is expected to be completed in first quarter of 2020. The transaction is expected to close on March 13, 2020. Magnus Wennerhorn, Martin Järvengren and Alessandro Seganfreddo of White & Case LLP acted as legal advisors to Klarna Bank AB (publ).
Klarna Bank AB (publ) completed the acquisition of Moneymour from Giacomo De Lorenzo, Michele Giannotta, Digital Magics S.p.A. (BIT:DM) and Reale Group Corporate Venturing on May 29, 2020. 
