April 20, 2025
I profiled Zoomd before, but the stock is significantly more undervalued today, so I decided to do this case study update.
Zoomd Technologies (ZOMD.V / ZMDTF) is an Israel-based digital advertising and monetization company that offers a mobile-first user acquisition platform powered by proprietary, patented technology. It provides advertisers with a unified dashboard connected to over 600 media sources and serves publishers as an onsite search engine. This unique position allows Zoomd to act as a one-stop shop for digital campaigns, helping advertisers target high-value users efficiently.
Zoomd’s platform sits atop the digital media ecosystem—integrated with social networks, device manufacturers, ad networks, and publishers—thus minimizing dependence on any single platform like Google or Facebook. With a strategic focus on high-growth sectors such as fintech, gaming, and e-commerce, Zoomd serves prominent clients like Sony Pictures, Crypto.com, and SHEIN, positioning itself as a scalable, privacy-proof solution in the evolving adtech landscape.
The market cap is $34.34 million while enterprise value is $28.67 million.
Here are the metrics of cheapness:
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- EV/EBITDA = 2.48
- P/E = 4.39
- P/B = 1.97
- P/CF = 4.47
- P/S = 0.68
There are very low metrics of cheapness.
Insider ownership is 29.2%, which is very good. ROE (return on equity) is 67.5%, which is excellent. The Piotroski F_Score is good at 7.
Cash is $9.28 million while debt is $3.56 million. And TL/TA is 38%, quite low.
Intrinsic value scenarios:
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- Low case: If there’s a bear market or a recession, the stock could decline temporarily. That would be a buying opportunity.
- Mid case: The current P/E is 4.39 but should be at least 10. This translates into a share price of $0.80, which is over 125% higher than today’s stock price of $0.351.
- High case: Arguably, the P/E should be 15. This translates into a share price of $1.20, which is over 240% higher than today’s stock price of $0.351.
RISKS
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- Tariffs are weighing on the stock in the near term. But it’s likely that the U.S. and China will work out some sort of deal, at least in the medium term, which would lower tariffs significantly.
BOOLE MICROCAP FUND
An equal weighted group of micro caps generally far outperforms an equal weighted (or cap-weighted) group of larger stocks over time. See the historical chart here: https://boolefund.com/best-performers-microcap-stocks/
This outperformance increases significantly by focusing on cheap micro caps. Performance can be further boosted by isolating cheap microcap companies that show improving fundamentals. We rank microcap stocks based on these and similar criteria.
There are roughly 10-20 positions in the portfolio. The size of each position is determined by its rank. Typically the largest position is 15-20% (at cost), while the average position is 8-10% (at cost). Positions are held for 3 to 5 years unless a stock approachesintrinsic value sooner or an error has been discovered.
The mission of the Boole Fund is to outperform the S&P 500 Index by at least 5% per year (net of fees) over 5-year periods. We also aim to outpace the Russell Microcap Index by at least 2% per year (net). The Boole Fund has low fees.
If you are interested in finding out more, please e-mail me or leave a comment.
My e-mail: [email protected]
Disclosures: Past performance is not a guarantee or a reliable indicator of future results. All investments contain risk and may lose value. This material is distributed for informational purposes only. Forecasts, estimates, and certain information contained herein should not be considered as investment advice or a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable, but not guaranteed.No part of this article may be reproduced in any form, or referred to in any other publication, without express written permission of Boole Capital, LLC.