Bigtincan (ASX:BTH) share price storms higher on T-Mobile contract update

It has been a good day for this small cap tech share…

| More on:
A man activates an arrow shooting up into a cloud sign on his phone, indicating share price movement in ASX tech shares

Image source: Getty Images

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The Bigtincan Holdings Ltd (ASX: BTH) share price is storming higher on Tuesday morning.

In early trade, the sales enablement platform provider's shares are up 4% to $1.17.

Why is the Bigtincan share price storming higher?

The catalyst for the rise in the Bigtincan share price on Tuesday has been the release of a positive contract update this morning.

According to the release, the company has signed an extension agreement with existing US based telco giant T-Mobile. The new agreement extends its contract by $6.3 million in total contract value over a two-year period. This means the T-Mobile total contract value now stands at $18.4 million since its initial deployment.

That initial deployment occurred in 2017 when Bigtincan won a competitive tender to implement the Bigtincan Content Hub across 5,500 retail stores on up to 23,000 mobile devices. It has now been extended to include the use of Bigtincan Learning Hub across customer facing sales users.

Management notes that this new agreement reflects its "land and expand" business model. This model is designed to enable the company to achieve long term growth through contracts that are underpinned by strong unit economics, created through investment in the core technology platform, coupled with smart tech focused M&A.

It highlights that the strong unit economics are underpinned by the cost of acquisition being lower than the high customer lifetime value of a contract like today's agreement. This is contributing to growth of its Lifetime Value (LTV) metric and a strong LTV/CAC [customer acquisition cost] metric.

At the end of December 2020, Bigtincan achieved an LTV of $363 million. This was up 44% from the same period a year earlier. In addition to this, it has achieved an LTV/CAC of between 3.5 and 4.5 since the first half of FY 2018.

Following today's gain, the Bigtincan share price is now up by an impressive 37% over the last 12 months.

Should you invest $1,000 in Bwp Trust right now?

Before you buy Bwp Trust shares, consider this:

Motley Fool investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now... and Bwp Trust wasn't one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.*

And right now, Scott thinks there are 5 stocks that may be better buys...

See The 5 Stocks *Returns as of 30 April 2025

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. owns shares of and has recommended BIGTINCAN FPO. The Motley Fool Australia owns shares of and has recommended BIGTINCAN FPO. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

More on Share Gainers

A happy investor sits at his desk in front of his laptop and does the mexican wave with his arms to celebrate the returns from his ASX dividend shares
Share Gainers

Why EOS, Gorilla Gold, Lendlease, and OFX shares are charging higher today

These shares are starting the week on a positive note. But why?

Read more »

A woman in a business suit sits at her desk with gold bars in each hand while she kisses one bar with her eyes closed. Her desk has another three gold bars stacked in front of her. symbolising the rising Northern Star share price
Gold

How this ASX All Ords gold stock turned $10,000 into $78,740 in just one year

The ASX All Ords gold miner has raced higher over the year. Let’s find out how.

Read more »

Ten happy friends leaping in the air outdoors.
Share Gainers

Here are the top 10 ASX 200 shares today

Investors enjoyed a happy end to the trading week this Friday.

Read more »

A woman wearing yellow smiles and drinks coffee while on laptop.
Bank Shares

CBA shares top $170. Where to now?

Another day, another record high for CBA shares.

Read more »

Two people jump and high five above a city skyline.
Share Gainers

Why these 5 ASX 200 stocks are racing higher this week

It’s been a stellar week for these five ASX 200 stocks. But why?

Read more »

Two happy excited friends in euphoria mood after winning in a bet with a smartphone in hand.
Share Gainers

Why Appen, Aspen, Catalyst Metals, and Core Lithium shares are racing higher today

Let's see why these shares are roaring higher today and ending the week on a high.

Read more »

One girl leapfrogs over her friend's back.
Technology Shares

This ASX 200 tech stock would have doubled your money in a year. Is it too late to buy now?

After more than doubling in a year, here’s what Macquarie expects next for this soaring ASX 200 tech stock.

Read more »

Rising gold share price represented by a green arrow on piles of gold block.
Gold

Up 710% in a year, ASX 300 gold stock surges higher again today on big news

The ASX 300 gold stock continues to reward its investors today. But how?

Read more »