SNCR shares have quietly rallied 120% YTD and trade just 7.3X Earnings and 8X EBITDA though the balance sheet the concern at 17X Net Debt to EBITDA SNCR crushed EPS estimates this latest quarter with a 115% rise in Adjusted EBITDA. Ladenburg has a $40 target positive on the shift to an industry-leading cloud-centric subscriber-based data storage/backup offering with future growth from new accounts and new subscribers.

Synchronoss (SNCR) at Sidoti Conference on growth and focus ahead….

“It’s also backed by statistics. In the U.S. market alone, there’s greater than $10 billion of available addressable market for personal cloud service offerings. So Synchronoss is in an early growth opportunity that has tremendous runway to expand. For basic personal cloud backup and storage with additional extension capabilities in areas that we’re already participating, like backing up content in your home or complementing your insurance plan for a device with an insurance plan for your digital content. So we believe that the market is one that is very inviting of continued growth and expansion. And once we have a client on our platform , we have a multitude of opportunities to engage with their subscribers through digital channels such as the onboarding process. When you activate a new device or their retail channels at point of sale or at home, when you activate a new router to bring your fixed wireless access up to speed in your home. We can also introduce you to the fact that we can back up all your digital content in the home. This gives us many avenues for long term growth and expansion. So our focus as a company is now to continue the expansion and growth and adoption of our platform with our existing clients . That’s our highest priority and that will help us deliver on our results for 2024 and set the stage for a successful 2025 and beyond. Additional League. We will selectively expand to new global customers, just as we did with SoftBank in November of last year, adding a massive new mobile customer in the Japanese market. We will also continue to invest in our platform cloud functionality and on a personnel. The pipeline is quite healthy and it is for the following reasons . As I’m sure all of you are aware, almost everyone has a cell phone. So growth in cell phone penetration has been tapped out. Additionally , fewer people are moving from one operator or one carrier to the next. So churn is down and people are holding on to their devices longer now on an average of greater than three and a half years. So global service providers are looking for alternate forms of growth and it is revenue , new revenue per user. That is the method that they’re going to get higher growth by adding value added services to their portfolio. So we’re in conversation with customers in North America, Asia, in Western Europe at this point, some in Latin America as well, who are seeing this be a successful business model for our current customers and therefore that value proposition is resonating. We don’t have any announcements to share today about any new customers, but we do feel confident that over the course of time, later this year or early next, we will be expanding our customer portfolio to augment the growth that we’re experiencing in our current clients. Overall, approximately 10% of their subscriber base leveraging our platform. And that would be a tremendous penetration to accomplish across our customers because as you can see on that 400 million subscriber addressable market, we’ve only tapped about two and a half percent on average. And do you have a target for that? Or we’d be happy to double that and get that to 5% as a good place to start. Well, clearly in the broader marketplace, Apple and Google provide cloud based services that are built into their ecosystems and consumers popularly adopt those solutions. Having said that, as I mentioned, only about 34% of subscribers today are participating in an active backup subscription for their digital content. So there is an untapped opportunity to capture that subscriber revenue, and the carriers are the best way for us to participate in that. And allow them to gain a better portion of the revenue that they would otherwise be foregoing if those subscribers simply signed up for Apple or for Google. So it puts us in a position where they’re them as an alternative provider for cloud is a natural extension of their voice and data services.”