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Looks like a few folks decided to take their losses, in spite of the fact the stock is now *below* trailing revenues. Others, like nt2, are picking up cheap shares…
A working thesis:
$6M market cap
TTM Revenue ~$8M
NO debt
Enclave is gaining traction
Recent key hires, including Dutch Schwartz
Substantial NOLAs
DoD contract announcement
Retired general on the Board
Double-digit growth
Increasing margins
Attractive sector
Insiders own 50% of stock
Float of roughly 100M shares
Solid leadership
What did I miss?
Thanksgiving homework: Someone please compare / contrast / rate the following companies: Airgap* - Illumio - Sidechannel
* zscaler recently acquired Airgap
I have been adding in the last week with all the selling. Hopefully, this is just some end of year loss harvesting and things turn around soon. Looking forward to Tuesday.
Looks like we will get an update on December 5th.
These are stocks options. Board members have the option of purchasing 1.1 Million shares at x price.
Based on what I know, Brian Haugli is the only insider to make an open market purchase, though it was quite modest - $5K or so.
Which leads me to ask, why isn’t anyone in the C-suite buying stock? Bueller? Anyone?
Soak up the float and (presumably / hopefully) enjoy a healthy ROI.
Insiders are Very Positive Buying More Shares Than They Are Selling In Sidechannel, Inc.In the last 72 trades there were 105.54 million shares bought and 1.42 million shares sold. The last trade was made 200 days ago by Brown Robert Brooks who bough 1.1 million shares. The large amount of stocks bought compared to stocks sold indicate that the insiders believe there is a potential good upside. In some cases larger purchases can be explained by due date for stock options.
I just read that Robert Brooks Brown just bought up over a million shares.
hey ciso – – I completely understand
Look on the positive side, 1.5 million shares went from weak hands to — I assume — stronger hands.
As a buyer there’s no need to pay up since you can just sit there on the bid and get as much stock as you like, at least for now.
*insiders are in at .18 cents*
ps - I’m sure those are investors from Paulson who are finally throwing in zee towel. Keep in mind, too, that only $40,000 worth of stock was traded today - peanuts, in the big scheme of things.
Do your own DD - not advice
Well those are all good points. But seeing this much volume and not moving up... painful to see. I sure wish a I had boat load of cash on hand...I'd be buying at this price for sure.
Someone is definitely happy picking up shares at this discount for sure.
#needastrongeoy
There’s seasonality involved here: Tax-loss selling. In a big year for the broader market, there is no shortage of capital gains.
Quoting chartist JC Parets, “Public companies have one goal: make shareholders money. That’s it.”
We like to talk about ROI, TAM, margins, growth, etc. Truth is, you chose to be a public company. Ipso facto, increase shareholder wealth.
Messrs Polk, Chasteen, and Hnatiw have been employed at Cioherloc/Sidechannel for close to 5 years. That’s an eternity in the microcap space. Two and a half years for Mr. Haugli - post merger.
I expect 2025 to be a strong year for Sidechannel.
#trading1xrevs
#tightfloat (insiders own 50% of company)
#nolas
#dodcontract
#nodebt
#increasingmargins
#enclaveadoption
Sidechannel announced a contract with a MAJOR DOD department and a month later someone is dumping shares….750k so far at 11:22am.
#whatthefck
#justdontunderstand
#needcashdesperatly
This is the 10k, so I believe there's extra time allotted to file that vs the 10q.
I think you're right—just noticed it was 12/4.
The last earnings release was on 8/7/24 so I just pushed it out 3 months
I thought the earnings were not coming out until dec 4. That is according to the schedule
Item 7.01. Regulation FD Disclosure.
On October 29, 2024, SideChannel, Inc. (“Company”) issued a press release announcing the deployment of its proprietary software product, Enclave, with a research and development organization within the Department of Defense Agency. The press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.
Looking at volume/trade activity over the past 30 days. Someone is slowly, methodically building a position. Its not easy to gain size in this stock - it trades by appointment. But, whoever it is picked up another 200-300k shares today. Strong bid at 4cents - which I thought was the previous bottom and was surprised to see it fall below that level. Not a piece of advice, but I feel we won’t see this stock trade below $.03-$.04 - with a push to the 200 day MA.
Looking forward to the earnings report, which should come in the next 10 days or so. Sdch is currently trading at 1x revenue, with no debt, millions of dollars in Nola’s, strong rev growth, an improving bottom line and it seems there’s a strong pipeline, as evidenced by the recent DOD related contract.
good luck everyone and be sure to do your own DD.
First, Sidechannel was not required to issue this press release. This also means SDCH was not required to include contract size.
****PRs ARE THE WAY FOR ANY COMPANY TO SHOW OR RELEASE NEWS OF REVENUE INCREASES ******
**** I JUST THOUGHT ADDING SOME NUMBERS WOULD MAYBE, JUST MAYBE, GET A MUCH NEEDED SHARE PRICE MOVE****
The PR is meaningful, however, because it helps to strengthen – – and for some restore – – confidence in the company. Further, the press release has the added benefit of providing increased credibility in the eyes of its current customers, as well as companies considering Sidechannel solutions.
****AGREED, IT SHOULD HELP COMPANIES SEE HOW STRONG OUR PRODUCTS ARE****
The fact they chose the word ‘major’ to characterize the contract is worth noting. While I won’t hazard a guess as to the approximate size of the contract, management might be willing to provide some color as part of its upcoming earnings report.
**** I THOUGHT THE EXACT SAME THING ABOUT USING THE WORD “MAJOR” *****
And speaking of major, since its inception, NASA SEWP has grown into the largest federal IT contract vehicle with nearly 35,000 customers. The GWAC is expected to generate nearly $12 billion in total procurements this year alone.
**** I SUGGEST FOR EVERYONE TO GOOGLE AND READ UP ON THIS. I PROVIDED A QUICK LINK IN THE PREVIOUS POST****
#ontheverge
#increasedrevenues
#thankyoubrian
First, Sidechannel was not required to issue this press release. This also means SDCH was not required to include contract size. The PR is meaningful, however, because it helps to strengthen – – and for some restore – – confidence in the company. Further, the press release has the added benefit of providing increased credibility in the eyes of its current customers, as well as companies considering Sidechannel solutions.
The fact they chose the word ‘major’ to characterize the contract is worth noting. While I won’t hazard a guess as to the approximate size of the contract, management might be willing to provide some color as part of its upcoming earnings report.
And speaking of major, since its inception, NASA SEWP has grown into the largest federal IT contract vehicle with nearly 35,000 customers. The GWAC is expected to generate nearly $12 billion in total procurements this year alone.
Hopefully we learn more about this contract during the next CC. I believe we are do to report on 11-10-24 ????
This is all spectacular news. Wondering why there is no mention of a dollar value in the PR?
SideChannel Wins Major Contract with Large DoD Agency to Implement Zero Trust Communications
Tue, October 29, 2024 at 7:55 AM CDT
BOSTON, MA / ACCESSWIRE / October 29, 2024 / SideChannel, the creator of the innovative zero-trust network microsegmentation solution Enclave, is proud to announce an initial contract win with a prominent defense research and development organization within the U.S. Department of Defense (DoD). The contract will see the implementation of SideChannel's Enclave solution to ensure secure communications, advanced segmentation, and enhanced network security.
The DoD agency had been relying on legacy systems that were increasingly costly, unreliable, and hard to maintain. In search of a modern, more dependable solution to connect various systems and sites securely, the agency selected SideChannel's Enclave for its ability to create secure, isolated environments for sensitive communications and data.
Enclave will enable the agency to transition to a zero-trust architecture, ensuring that only verified and authorized systems and users can communicate with one another across their network. Brian Haugli, CEO of SideChannel, commented on this important milestone:
"We're thrilled to partner with such a forward-thinking organization within the DoD. This contract reaffirms SideChannel's commitment to delivering cutting-edge, secure communications solutions that reduce risk and improve operational resilience. Enclave is built for organizations that prioritize security, and we look forward to helping this agency achieve their zero-trust objectives."
Additionally, SideChannel's Enclave solution is now available through the GSA and NASA SEWP contract vehicles, making it easier for government agencies to acquire and deploy the technology. These procurement options streamline the process, allowing federal entities to quickly implement secure, scalable solutions like Enclave to meet their evolving cybersecurity needs.
This contract further establishes SideChannel's Enclave as a leading solution for organizations within the defense sector seeking a secure and scalable approach to modernizing their network architecture.
https://finance.yahoo.com/news/sidechannel-wins-major-contract-large-125500077.html
Ok, you asked for it. How about this for “fast-forwarding” into the future?!
SideChannel Wins Major Contract with Large DoD Agency to Implement Zero Trust Communications
SideChannel has secured a contract with a major U.S. Department of Defense (DoD) research and development organization to implement its Enclave zero-trust network microsegmentation solution. The solution will replace the agency's legacy systems, providing secure communications and enhanced network security. Enclave is now available through GSA and NASA SEWP contract vehicles, facilitating easier procurement for government agencies. The platform will enable the DoD agency to transition to a zero-trust architecture, ensuring only verified and authorized systems and users can communicate across their network.
Positive
* Secured new contract with major DoD research agency
* Expanded access to government market through GSA and NASA SEWP contract vehicles
* Successfully replacing competitor's legacy systems in defense sector
Lots of talk about the past. I sure wish our future would hurry up and arrive so we could put the past behind us.
#ronmustbebored
de la Garza failed to file many SEC required filings (pertaining to MDLG's actions), and did things that show a consistent pattern of criminal behavior.
Now it all makes sense.
TronCarter
Re: SleuthHound post# 21176
Friday, 01/24/2020 2:39:44 PM
There's a laundry list of items MDLG violated...
de la Garza failed to file many SEC required filings (pertaining to MDLG's actions), and did things that show a consistent pattern of criminal behavior.
Everything about de la Garza's CLOK ownership is under question.
Mattox and Koby were not associated or complicit with MDLG's behavior or actions. They were only employed and/or hired by MDLG. Like many other professionals who have worked for CLOK in the past, they have professional integrity. MDLG did not. Many others (Gangi, A. Carlson, Packes, Daly, Kale, other de la Garza's) operated with little to no professional integrity. They were part of the problem.
Message in reply to SleuthHound:
Did anyone see a Statement of Change in Benefitial Ownership?
No, then it couldn't have been MDLG.
But you're ok with giving shares and high salaries to people like Milton Mattox and Ron Koby, who were also associated with MDLG and have yet to deliver anything after over a year?
Tron Carter:
You seem obsessed with Milton and Ron since they have been there over a year and "produced nothing". However, at times you have defended Joe Gangi and his crew. They were engaged with CLOK for about a year and produced nothing. In addition, they took WAY more cash from CLOK than Milton and Ron combined.
I'm not sure where you read those numbers about my comp. What's in the 10k is accurate.
Side note, there's a former Paulson investor that got fired from there thats been holding a grudge against CLOK for sometime. This guy also every so often emails our CFO Ryan poking fun for no reason. His name is Ron Coby. He's in Oregon I believe and seems to just bag on anything associated with Paulson and CipherLoc. He posts on this forum too and seems to be misguided on things. He briefly held a sales role at CipherLoc end of 2020 thru early 2021 but was let go for inadequate performance.
What's worse is there were allegations against him as a broker that he settled for $32k and at least 1 bankruptcy under his belt around the same time he got divorced. Talk about a series of failures in life.
Know him?
Wondering when SideChannel will roll this thing out via a huge marketing campaign? Hire more people. Get this thing moving? Seems we are right at cash positive or close. It's time to make this thing move ?
He did not read that.
Mr. Haugli makes less than $400K per year. The merger took place in June of 2022.
Try to follow the high level math:
~$400,000 x 2.4 = $960K
Not millions.
Where do you read that Haugli was paid millions in compensation? All the filings since the merger don't show that at all.
Haugli vs. de la Garza aka “the criminal”
MDLG, commonly referred by vCISO in many posts, including the previous post as “the criminal”, and CLOK (now SDCH) is/are being sued by current and/or former shareholders, consultants and employees (including C-level executives). Court records show that SDCH and MDLG will likely continue to litigate one case well into 2025. The case, by the way, was filed on 4/17/2020.
It’s a fact that MDLG and Haugli have both been paid millions of dollars in bonuses and compensation, and millions more in shares from SDCH/CLOK. It’s also a fact that share price has suffered under both MDLG and Haugli.
But it seems like Haugli has been paid MORE $$ and shares than MDLG. And hey, I’m not saying that he (Haugli) acted alone. I believe it was Tom Wilkinson that teed it (reverse merger between SDCH and CLOK, and Haugli’s employment agreement) up so nicely for Haugli. I guess Tom took his money and shares and got away from SDCH.
What happens next? Seems like this business may be running out of money but has found one last way to a) get help from an external resource (RealCiso) and b) distribute even more dollars to Haugli (RealCiso). I’m sure it’s all on the up and up. You know, I may be starting to admire Haugli’s tenacity. 👍️
Here’s to Haugli and team finding a way out of their current cash dwindling situation, although I wouldn’t rule out another infusion of cash or a buyout.
Message in reply to vCISO:
I appreciate your opinion. I guess I question it because of what the criminal did to us. I will get back in my closet and stop with the pouting.
I appreciate your opinion. I guess I question it because of what the criminal did to us. I will get back in my closet and stop with the pouting.
No its not a ridiculous statement.
Why is it so hard to grasp the concept that RealCISCO was not part of the deal.
I have no idea why some people on this board feel cheated that Brian didn't throw in his other assets as an "extra" to make you happy.
His comparison was spot on.
Yes, a ridiculous statement IMO……
“Like I've pointed out before, my other assets aren't up for grabs. I have a house and property in upstate NY that I've owned for 18+ years. It's increased in value since we bought it. Should I sell that to SideChannel too?”
Never lose sight of the fact that those here are indeed shareholders of the company that you are CEO of.
#couldhavebeenleftout