Stock Alert for Glu Mobile Inc. (GLUU)
  • Stock Alert for Glu Mobile Inc. (GLUU)
  • Stock Scan for the Day: GLUU
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    Stock Alert for Glu Mobile Inc. (GLUU)

    Glu Mobile (GLUU) is a global developer and publisher of social mobile games for smartphone and tablet devices. Its unique technology platform enables its titles to be accessible to a broad audience of consumers all over the world – supporting iOS, Android, Windows Phone, Google Chrome and beyond. The Company is focused on bringing the best in social, freemium, cross-platform mobile gaming experiences to the mass market. GLUU is focused on creating compelling original IP and also partners with leading entertainment brands including Activision, Atari, Caesar’s and Fox. 

    Share Statistics (23-Mar-12)   FY












    Symbol GLUU Revenue, $Mn 64.34 66.19 2.88% 15.64 15.17 -3.01%
    Current price $4.85 Gross marg. 66.54% 72.25% 8.58% 69.76% 72.84% 4.42%
    52wk Range: $1.80-$6.10 Oper. margin -32.08% -64.33%
    Avg Vol (3m): 1,575,690 Net margin -20.86% -31.88% 52.83% -31.65% -66.05% 108.69%
    Market Cap. 310.60M              
    Shares Outstanding 64.04M EPS, $ -0.30 -0.21 -30% -0.08 -0.16 100.00%

    Source:, SEC Filings.

    Investment Highlights

    Shares in GLUU advanced $0.85, or 21.25%, to close Friday trade at $4.85.  Nearly 15 million shares exchanged hands during the session, versus the 10-day average of 1.46 million. Over the last 52 weeks, the stock has ranged from a high of $6.10 to a low of $1.80.

    GLUU shares have risen 22.5% in the last five days; 20.4% in the last month; and 34.7% year-to-date.

    GLUU earlier this month announced the addition of Android APK Expansion File technology to one of its most popular casual titles, Bug Village.  As stated by the Company, the addition of APK Expansion File technology should lead to a better user experience for Android gamers through a single game download from Google Play.

    Niccolo de Masi, president and CEO of GLUU, commented that by adding Android APK Expansion File technology to Glu games on Android, the Company is eliminating the existing dual-step download process for its high production value games.” With Android APK Expansion File, users will be able to download Bug Village faster and with less friction jump right into the action.  Over the medium term we anticipate Android APK Expansion File increasing the take-up of Glu games on Google Play.”

    de Masi went on to say that the Company has worked closely with Google since the inception of the Android platform and seen non-GAAP revenues grow 10x from full year 2010 to full year 2011.

    With over 850,000 new Android devices reaching consumers every day and advancements like Android APK Expansion File technology, GLUU looks forward with confidence to continued Android revenue growth in 2012, he said.


    Financial Summary

    GLUU reported total GAAP revenue of $15.2 million for the fourth quarter of 2011, compared to $15.6 million in the fourth quarter of 2010. Total non-GAAP revenue was $20.1 million for the quarter, compared to $15.5 million in the comparable quarter of the previous year. Non-GAAP revenue excludes changes in deferred revenue. GAAP revenue for the latest reported quarter reflects a refinement in revenue recognition methodology for purchases of virtual currency and virtual goods. Deferred revenue increased from $0.8 million at the end of 2010 to $7.1 million at December 31, 2011.

    The Company reported a GAAP net loss was $10.0 million for the fourth quarter of 2011, compared to a GAAP net loss of $4.9 million for the fourth quarter of 2010. Non-GAAP net loss was $1.4 million for the fourth quarter of 2011, compared to $1.1 million for the fourth quarter of 2010.


    Financial Strength (23-Mar-2011)




    Quick Ratio (MRQ) 1.71 1.00
    Current Ratio (MRQ) 1.93 2.03 2.74
    LT Debt to Equity (MRQ) 10.51 10.90
    Total Debt to Equity (MRQ) 0.00 14.33 20.20
    Interest Coverage (TTM) -19.91 3.78 1.19

    Source:, SEC Filings.

    Technical Analysis


    GLUU is above the upper Bollinger Band, implying that it is currently extended from its recent trend. Be aware, however, that a cross outside of the Bollinger Bands can sometimes be a signal of trend strength and not, necessarily, trend reversal.

    The MACD for GLUU currently indicates a strong bullish signal for two reasons. First, the MACD is above the signal line, a 9-day moving average. Second, the MACD is above 0, which implies that the underlying moving averages are trending higher.

    Comparative Analysis

    Company Name Ticker Price per Mrkt. Cap. P/E P/S
    Mar23-2011 symbol Share, $ $ Mn 2012 2013 2012 2013
    Take-Two Interactive Software Inc. TTWO 15.81 1.42B n/a n/a n/a 1.74
    THQ Inc. THQI 0.61 41.64M n/a n/a 0.05 0.09
    Multimedia & Graphics Software Median       13.52 n/a 1.52 n/a
    Glu Mobile Inc. GLUU 4.85 310.60M n/a n/a 3.61 2.50

    Source: Thomson Financial

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