With artificial intelligence (AI) expected to generate more than US$15 trillion in revenue this decade thanks to its ability to supercharge productivity and digital wallet usage set to grow by 53 per cent from 3.4 billion in 2022 to 5.2 billion in 2026, accounting for more than 60 per cent of the global population, thanks to increasing mobile and internet access, investors have a timely opportunity to capitalize on these trends by allocating into undervalued stocks.
An essential stock to consider is Fobi AI (TSXV:FOBI), market capitalization C$16.53 million, a specialist in compiling and deriving real-time insights from customer data. Fobi AI’s stock is down by 80.26 per cent year-over-year despite having helped to optimize decision-making at some of the world’s largest businesses across retail & consumer packaged goods, insurance, sports & entertainment and casino gaming.
To gain a foothold in the US$9 trillion digital wallet market, Fobi released Wallet Pass, a platform that delivers personalized digital in-wallet experiences for every need, including membership perks, ticketing, coupons and venue management, while collecting and segmenting customer data by demographics, preferences and purchase behaviour to sharpen strategies towards increased engagement and profitability. Fobi has issued more than 100 million wallet passes to date, and is in discussions for numerous deals under non-disclosure agreements, as per episode 75 of the Fobi Insider podcast.
To stake its claim in the US$5 trillion global AI market, the company created the Fobi Data Exchange, a plug-and-play omnichannel platform that uses AI to generate real-time analytics from customer data to hone in on and better satisfy their needs.
Fobi’s ability to aggregate 100 per cent of every transaction, increase engagement by up to 88 per cent, and delineate expansion strategies optimized for return on investment, has led the company to build a reputation for being able to get to the heart of what customers want, scale recurring device, usage and software-as-a-service revenue on a path to profitability, and work with industry leaders such as the Nasdaq stock exchange, Amazon Web Services, Square, Lightspeed, NCAA, Comcast, Telus, NTT Data, PGA and MGM Resorts, to name just a few.
It’s Fobi’s results-oriented reputation that has allowed it to expand its high-profile partner list with a pair of brewers – Asahi and Vancouver Island Brewing – both key players in their target markets in the more than US$670 billion global beer industry, and both with eyes on a greater competitive edge to maintain beer’s leadership position against rival categories such as wine, ready-to-drink and non-alcoholic beverages.
Asahi and Fobi AI
In early April, Fobi signed on to deliver Asahi Canada a customized and fully automated analytics dashboard, offering real-time performance data and forecasting capabilities for the predominantly independent and fragmented Western Canadian liquor market.
Founded in 1899, Asahi is a global food and beverage company behind five of the world’s most beloved beers: Asahi Super Dry, Grolsch, Kozel, Peroni Nastro Azzurro and Pilsner Urquell. The company is Japan’s largest brewer, generating total revenue of US$19.1 billion in 2023.
Fobi’s data consolidation and segmentation by consumer, store, city, region and pricing index, will holistically capture the Western Canadian competitive landscape, highlight market gaps, and drive Asahi’s growth and profitability in the region through actionable insights, solving a significant pain point for the conglomerate.
Asahi will be able to create customer portfolios that reflect demographics, purchase history and spending patterns, positioning itself to identify emerging trends before the herd, expand visibility and conversion, and build upon its more than one century of leadership in the food and beverage industry.
Vancouver Island Brewing and Fobi AI
Just last week, Fobi followed up the Asahi contract with a second deal with Vancouver Island Brewing, one of Canada’s original craft brewers, less than one year after the companies’ collaboration on a digital loyalty program in August 2023. The new deal will see the iconic British Columbia-based manufacturer receive a custom data analytics dashboard of its own to drive exponential growth.
Vancouver Island Brewing, which has been locally producing playful and accessible beers since 1984, will benefit from automated and real-time market visibility at the industry, city and retail store levels, enhancing its ability to identify consumer patterns, forecast trends and strengthen relationships with its private retail partners, while more efficiently allocating resources towards fortifying its dominant position in the B.C. craft beer market.
Fobi is in discussions with numerous other manufacturers to expand their consumer data collection capabilities, unlock new avenues for monetization, and strengthen recurring revenue for the ultimate benefit of its shareholders.
The company managed to grow top-line revenue by 12.6 times from C$160,000 in 2021 to C$2.02 million in 2023, and is on track for a record figure in 2024, as it focuses on creating value in its multi-trillion-dollar addressable market.
A wealth of unrecognized value
By granting perspective to companies used to blind decision making, and simplifying the digital wallet experience to ride the tailwind of digital economic growth, Fobi represents a turnkey solution to future-proofing operations in any industry. According to the company’s investor deck, this value proposition grants it an initial global market opportunity estimated to reach more than US$30 trillion through 2030.
Fobi’s demonstrated value-add exposes its stock’s 80.26 per cent drop year-over-year to be the overreaction market-tested investors dream of, one where excessive volatility, likely because of high interest rates, ensuing risk-off sentiment, and the difficulty of evaluating unprofitable companies, has created an attractive entry point for allocators who recognize the high level of conviction the company deserves.
As Fobi minimizes expenses and maximizes margins with each new deal that it closes from its growing pipeline, as most recently evidenced by a data licensing agreement with B.C.’s Red Truck Beer Company, and word-of-mouth about its tools to leverage the benefits of AI continues to travel, it is not a matter of if but when the broader market prices in the company’s extraordinary potential.
Join the discussion: Find out what everybody’s saying about this AI and data analytics stock on the Fobi AI Inc. Bullboard, and check out other hot topics about stocks at Stockhouse’s stock forums and message boards.
This is sponsored content issued on behalf of Fobi AI, please see full disclaimer here.
