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Writer's pictureMark Watson-Mitchell

Windward (LON:WNWD) – Looking For 200p A Share

A couple of weeks ago, this Israeli-based Maritime AI company issued its Half Year Report to end-June.


It showed that its annual contract value was up 35% in the period to $37.2m ($27.6m) and that its Interim revenue was up 37% at $17.6m ($12.8m).


Encouragingly it cut its EBITDA loss by two-thirds to $1.3m ($3.8m loss).


At the end of the first half its cash balance was $13.8m ($17.3m).


Market consensus for the full year is for revenue of $36.2m, an adjusted EBITDA loss of $1.6m and cash of $16.1m.


Readers will know by now just how much I rate companies with increasing ARR.


Windward has reported that its strong base of recurring subscription revenues and with its reduced cash burn, underlines its confidence in achieving a breakeven adjusted EBITDA run rate during the year.


CEO Ami Daniel stated that:


"We delivered another period of growth in line with our expectations with good momentum across all our financial metrics as we approach adjusted EBITDA breakeven run rate during the current financial year.


Revenue is up 37% year over year and ACV, a future indicator of revenue growth, is up 35%, reflecting the underlying demand for our offering.


We are expanding our global customer base as they embrace our portfolio offering to address their varied needs across global trade.


Our investments into new products, including our highly innovative MAI Expert, are paving the way for new opportunities through an expanded addressable market. Innovation remains at the core of our focus, and our cash reserves enable continued self-funded growth across our offering to meet the needs of our customers across maritime and logistics.


With a high rate of renewal from existing customers, continued trading momentum into the second half, a highly competitive and differentiated offering, and high margin business, we anticipate the opportunity to keep building the company as the leader in Maritime AI for global trade "


Analysts Kai Korschelt and Hayley Palmer, at Canaccord Genuity Capital Markets, rate the group’s shares as a Buy, fixing a Price Objective of 200p.


Since the middle of August, this group’s shares have risen over 60% to the current 161.50p – based on the Canaccord PO that still leaves another 25% upside.


Hold tight.



(Profile 03.04.23 @ 37.50p set a Target Price of 47p*)

(Profile 13.12.23 @ 80p set a Target Price of 100p*)

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