Refer below the picture: Magic Quadrant (MQ) refers to a series published by IT consulting firm Gartner of market research reports that rely on proprietary qualitative data analysis methods to demonstrate market trends, such as direction, maturity and participants. During Jan 2017, they published Magic Quadrant (it seems they do it every year!) and listed little known company called Intense Technologies, probably due to this issue media came to know about Intense and almost all blog which I read has recommended to buy Intense Tech during Jan-Feb 2017 at the price of 150-200 range, one blog writer was even giving the target price of Rs 2000 for this stock which looks funny, baseless and unrealistic expectations without understanding the business model and risk associated with the company.
Promoters seems to be smart & intelligent experienced techno guys working hard since last many years, I have seen their videos of 2012 and in 2015 when they were not even known…..
C. K Shastri Says Products Are More Respected Overseas Than In India 
Jayant Dwarkanath (CEO, Intense Technologies) speaks at CeBIT Global Conference 2015
 
Today, I was reading the latest conf call transcript and here is their business model in simple words…
 
What exactly UniServe Next product does and where is it strength and competitive advantage and what kind of markets will it serve?
If you really look at it, what is this world is talking about, why these layoffs are happening, why is the thing, everything is people are talking about automation. There is no more going to be soon people talking about coding. What is the software development life cycle? Software development life cycle is once the requirement is gathered, then you take the requirement, you create a high level design document, then the low level design document, give it to development and from development it goes into testing, then you have development and testing environment, then you have end-to-end environment, then the production front. This is a cycle for an enterprise product because anywhere it goes wrong, the whole business is impacted. Now, what we are talking about with this platform is once you have the requirement, it is all click, click, click, click and go about to create enterprise. There are a lot of technology technical terms like Sandbox rollback parallel run, how you can use it for buy model. Fundamentally, we have five core big components – one is the UI what is required, we have a UX thing, once you compile, create UI, you can import UI, you can create UI, you can even get expert creating UI and import it and it can run on any device, whether it is a mobile device, whether it is a tablet, whether it is a desktop or even in some of your car dashboards or going forward IoTs going to happen. That is one. The second aspect of it is data. You might have a great UI but handling data. So the good old days for data digital transformation is to be collecting all data to one place which to be three years, four years process. If you really look at it, it is a massive-massive process, three-four years process. So that is now moving to data one. Virtualization of data connection. We have filed also a patent for it. We call the process data manager which connects into various data sources or different file formats different structures and normalizes this for the front end just to understand that and on top of it we have a rules engine. Then after that we also are talking about workflow because every process has got a workflow. Take anything, there is a process, you place an order, make the payment, then it goes to shipment, it goes to logistics, the whole lot of things, right. So how do you trigger each of the processes, the workflow and how do you create that. Today, the world is moving into a completely collaborative world. It is called the “World of API.” APIs are integration between applications to interface what we are trying to talk about. So this particular thing becomes very critical because if tomorrow Uber is giving car for rental, he would like to sell food on his app, he would like to sell hotels on his app, he would like to add more too already an existing hotel or existing thing and do the collaboration part of it. This is how the APIs work. APIs become very-very integral part of any enterprise application. So we have a very robust. Instead of coding and scripting,we have a very unique thing of connecting to systems because we support all the best renowned API interfaces in the industry. So in a nutshell, what we are sayings, also we are talking about Bots, that is Artificial Intelligence space, Automated Testing, we are talking about Sandbox.
Let’s take example of manufacturing industry. The efficiency of the manufacturing industry mean actually came to the fore once the conveyor belt systems started and you had multiple parts and you have people picked out individual components on the part and assemble the car or a two-wheeler and then there were multiple entities with the same characteristics going up. That is when the efficiency, the manufacturing process came to the fore. In the software industry,never it happened in the past or even as we speak today where there is a kind of like you pick up individual LEGO box and create whatever shape that you want because software industry, the convention has always been to identify what the requirement is and sit down and look at which is the best language to quote for which will probably work in multiple environments and then start coding for that requirement.
What are the headaches you guys are facing these days and regarding marketing and increasing business, what are the priorities you guys are working with?
The big problem is as usual we are facing the brand issue. We do not have enough resources to put in because again it is a chicken and egg story, we always go through is that you make investments and then you have to have a long wait for the revenues to come. So we are doing very minimilastic investments in marketing.Our sales reach is also not very significant because when we invest in a sales guy,he will only get us revenues in about a year, year and a half. So we are going in a very incremental way which is not the correct thing for an enterprise business to do.If you go after 100 deals first and foremost is you will have a negotiation leverage because when you have more prospects, more opportunities to deal with and you leverage, everything will be much better. We are battling with that if you really know that s I said Europe we only have one sales guy, US we have one sales guy and yet they started contributing pretty decently for us.The pain as a sales organization is that in any new market, while yes, what we have done in South Asia and our strengths in managing and demonstrating that in South Asia to an extent is probably a lot of initial barriers do come down but the point is anybody wanting to acquire such a critical solution looks at what we have done in their own neighborhood first as a commitment to that region and that is why we are now kind of looking at and seeing even at the cost of initial as a seeding program if we can have a stake in the ground in all the major markets.
Conclusion: Techno promoters (although low promoter holding of overall ~30%), they have developed a good enterprise product which will be in demand because it’s inline with upcoming trend, the only difficulties they are facing is to scale it for which they are looking for some strategic partner and as per the conf call transcript one strategic partner has already met them and probably they will finalize some kind of tie-up which will boost the future outlook of the company. Attractive price will be around 60-80 range only. 
Shareholding pattern also shows some reputed investors has taken stake in this company since early 2014 period…
– Anil Sarin (CIO equity for the global management group (GAM) of Edelweiss Financial Services Ltd) & Anita Sarin holds ~ 5%
– Satpal Khattar (A Padma Shri recipient, a prominent Indian lawyer in Singapore in the 1990s and a Rs 650 crore equity portfolio on Dalal Street) holds ~2%  

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