Zacks Small Cap Analysis – LGMK: Accelerating Momentum, Rising Product Suite Bode Nicely – Cyber Tech

By M. Marin

NASDAQ:LGMK

READ THE FULL LGMK RESEARCH REPORT

Comparisons anticipated to be extra apples-to-apples going ahead

LogicMark, Inc. (NASDAQ:LGMK) reported 2023 outcomes final week. Our key takeaways are:

➢ Momentum improved considerably in the direction of the tip of the yr

➢ Suggestions on just lately launched new merchandise has been optimistic

➢ The product pipeline continues to develop

➢ We don’t anticipate further goodwill impairment fees

Though 2023 income declined 17% year-over-year, 4Q23 income was up 13%, as one-time substitute gross sales as carriers transitioned away from 3G expertise in 2022 ended and comparisons turn into extra apples-to-apple. We consider this bodes effectively going ahead, significantly as suggestions on just lately launched new merchandise has been optimistic and the corporate’s product pipeline continues to develop.

The corporate has expanded its software program and expertise product portfolio, launching two new merchandise in 2023 and one since 2024 started: Freedom Alert Plus, Freedom Alert Mini and Aster. The Freedom Alert Plus is a Wi-Fi and touch-screen-enabled machine. The 4G Freedom Alert Mini is a smaller machine meant to be cellular for individuals with extra energetic existence. The brand new merchandise every embrace month-to-month 24/7 monitoring service by U.S.-based emergency operators and patented multi-sensor fall detection expertise. LGMK continues to increase its product line throughout the private emergency response methods (PERS) area because it develops its Care Village ecosystem. Extra just lately, LGMK launched Aster, which is a software program software designed to broaden its goal market past the senior demographic and their caregivers.

The corporate additionally superior its aim to drive gross sales by means of the net and direct-to-consumer (DTC) retail channel. Freedom Alert Plus & Freedom Alert Mini can be found at LogicMark’s new retailer on Amazon.com and e-commerce web site. Aster is a subscription-based software program app obtainable on the Apple and Google Play shops. LGMK believes Aster illustrates how effectively it could possibly leverage its Caring Platform as a Service (CPaaS) mannequin to launch new IoT options to assist guarantee security for a broadening group of customers and allow caregivers & household to observe the well being and security of family members remotely

Importantly, the Aster launch marks LogicMark’s enlargement past the standard demographic marketplace for PERS units, as famous, and likewise the primary software program app that can be utilized with out devoted {hardware}. The corporate is growing and introducing new services, because it strikes ahead in growing its related platform. LGMK has indicated that future improvements doubtless will incorporate further applied sciences to observe well being knowledge and supply further providers.

Rising product pipeline as firm continues to innovate…

Going ahead, the corporate plans to increase its cellular-based product line and options to offer multi-layer security assist utilizing CPaaS and likewise to combine with sure Third-party related and wearable units and providers. The corporate additionally expects different {hardware} firms to work with its platform and is collaborating with firms in order that third-party {hardware} producers can accomplice to make use of its software program and software program providers. This technique is predicted to reinforce buyer flexibility on the {hardware} aspect and supply robust providers. The corporate expects to license its software program, a lot in the way in which that Google does.

As the corporate is transitioning to a CpaaS mannequin, LGMK intends to take care of and develop its conventional enterprise. A key element of the transition is bigger give attention to on-line and DTC channels, as famous. Historically, the corporate’s PERS applied sciences have been bought by means of retailers and distributors, the LogicMark web site in addition to by means of the USA Veterans Well being Administration (VHA), which is a vital accomplice for LGMK.

SUBSCRIBE TO ZACKS SMALL CAP RESEARCH to obtain our articles and studies emailed on to you every morning. Please go to our web site for extra data on Zacks SCR. 

DISCLOSURE: Zacks SCR has obtained compensation from the issuer instantly, from an funding supervisor, or from an investor relations consulting agency, engaged by the issuer, for offering analysis protection for a interval of at least one yr. Analysis articles, as seen right here, are a part of the service Zacks SCR supplies and Zacks SCR receives quarterly funds totaling a most price of as much as $40,000 yearly for these providers supplied to or relating to the issuer. Full Disclaimer HERE.