Serving the Specific Research and Access Needs of Companies Not Valued by Traditional Metrics or Facing Other Coverage Challenges
NEW YORK, NY / ACCESSWIRE / March 6, 2024 / Sidoti & Company, LLC ("Sidoti"), a registered broker-dealer, is pleased to announce the launch of Lighthouse Equity Research ("Lighthouse"), which will service the specific research needs of companies with stocks not conducive to traditional valuation metrics such as earnings and cash flow or that have difficulty obtaining analyst coverage due to perceived political risk or other factors. Lighthouse leverages Sidoti's 25 years of experience in covering and providing corporate access to small and micro-cap companies to address a vastly underserved market through a widely accepted, independent sponsored research platform introduced in 2016.
Lighthouse fills a critical void in the market for companies seeking to improve visibility and gain investor outreach through high-quality research that is free of undisclosed conflicts of interest. The decrease in brokerage resources across Wall Street to properly convey the economic potential of securities not valued using "Graham and Dodd" methodologies or beset by political or other risks magnifies the struggle of leaders of such companies to obtain ethically responsible equity research coverage, even if their business is "in vogue" and/or has copious investment banking needs.
Lighthouse addresses companies' specific challenges, including (i) finding analysts dedicated to a deep understanding of their financials and potential and conveying the attendant investment thesis, (ii) receiving highly active coverage, and (iii) obtaining visibility in an investment community that eschews companies viewed as requiring too much effort to understand. Lighthouse leverages the reputation Sidoti has earned as Wall Street's leading independent small and micro-cap research provider since 1999 and will advance companies' access to Sidoti's 1,500 institutional relationships and growing investor network. Importantly, Lighthouse personnel will also work with IR professionals of covered companies to make sure that the effort is coordinated and properly targeted.
Lighthouse is an extension of Sidoti's Company Sponsored Research ("CSR") program, which has grown to over 50% of Sidoti's equity coverage universe and where companies are covered by FINRA-registered analysts producing research who, unlike non-registered providers, must follow rigorous regulatory standards. Lighthouse research will be made publicly available through Sidoti's website and across leading financial data outlets such as FactSet, Bloomberg, Capital IQ and Refinitiv. Lighthouse companies can also take advantage of other Sidoti or Sidoti-affiliate outreach vehicles, including non-deal roadshows or participating in the firm's eight annual virtual investor conferences.
"We truly understand the requirements of companies that are difficult to value or face unique challenges due to perceived political or other risks. Frequently they have trouble obtaining high-quality coverage, often because they do not need to utilize a brokerage's investment banking services," said CEO Peter Sidoti. "We aim to help these companies get much needed attention, whether characterized by negative earnings/cash flow due to their stage of development, shifts in business model, heavy investment or restructuring costs or that may be deemed potentially volatile by a skittish investment community. Our firm's well-established prowess in the small and micro-cap sectors ideally positions Sidoti to fill the void these companies face in finding responsible and active coverage, and so we are devoting considerable resources to make sure we fill that void well."
About Sidoti & Company, LLC
For 25 years, Sidoti & Company, LLC (www.sidoti.com) has been a premier independent research provider focused on small and micro-cap companies and the institutions that invest in securities with market caps of less than $5 billion. More than half of Sidoti-covered companies participate in the firm's rapidly growing Company Sponsored Research ("CSR") program and tap the benefits of Sidoti's expansive distribution network. In 2024, Sidoti established Lighthouse Equity Research as an extension of its CSR program to meet the specific needs of companies not valued using traditional metrics or that face challenges obtaining coverage due to political risks or other factors. Sister company Sidoti Events, LLC, is also a leading provider of corporate access through the eight investor conferences it hosts each year. Our small and micro-cap focused nationwide sales force, catering to 1,500 institutional relationships in North America, enables the firm to provide multiple forums for meaningful interaction for small and micro-cap issuers and investors specifically interested in companies in the sector.
MEDIA CONTACT:
Ally Cecil
Sidoti & Company, LLC
[email protected] or (212) 453-7031
FOR COMPANIES INTERESTED IN MORE INFORMATION ABOUT LIGHTHOUSE EQUITY RESEARCH:
Joseph France, CFA
Director, Lighthouse Equity Research
[email protected] or (212) 453-7010
Peter Sidoti
CEO
[email protected] or (212) 453-7000
SOURCE: Sidoti & Company, LLC