TSXV:ROOF
Trending >

Symbility Solutions has a "significant opportunity", says Industrial Alliance

Symbility Solutions

Symbility Solutions
Symbility Solutions (Symbility Solutions Stock Quote, Chart, News: TSXV:SY) is a junior tech that investors should keep an eye on, says Industrial Alliance Securities analyst Blair Abernethy.

In a research report to clients today, Abernethy initiated coverage of Symbility Solutions with a “Speculative Buy” rating and a one-year price target of $0.55, implying a return of 44.7 per cent at the time of publication, including dividend.

Abernethy says Symbility is SaaS-based insurance vendor that has a significant growth opportunity.

“We believe that Symbility has a significant market opportunity to supplant legacy desktop claims processing software in the P&C insurance industry, in particular products from vendors such as Xactware (a subsidiary of Verisk [VRSK-Q, Not Rated]), as large insurance customers look to streamline and improve their claims processing operations,” says the analyst. “The US P&C industry typically processes 8-9M property damage claims annually, which we believe could represent a market opportunity in excess of US$250M annually for Symbility’s core claims processing solution.”

HIRE Technologies

Abernethy says he expects Symbility will grow its revenue by 25.3 per cent in 2016 to $33.2-million, and by more than 11 per cent the following year, to $36.9-million. He says that even though the company is investing heavily in product and market development he thinks it will come close to break even in EBITDA, near term.

More Cantech Software

About The Author /

Cantech Letter founder and editor Nick Waddell has lived in five Canadian provinces and is proud of his country's often overlooked contributions to the world of science and technology. Waddell takes a regular shift on the Canadian media circuit, making appearances on CTV, CBC and BNN, and contributing to publications such as Canadian Business and Business Insider.
insta twitter facebook

Comment

Leave a Reply

Your email address will not be published. Required fields are marked *

RELATED POSTS