The Big Un Ltd (ASX: BIG) share price has continued its good run and has posted another strong gain today.
At the time of writing the video technology company's shares are up over 6% to $1.44. This brings its week-to-date return to almost 12%.
Why are its shares higher today?
This morning the company provided the market with an update to its guidance for the first quarter of FY 2018.
According to today's release, due to the strong performance of its sales and production teams in August, the company now expects to achieve global cash receipts from customers in excess of $14 million in the first-quarter.
This is a 449% increase on the cash receipts generated in the first quarter of FY 2017 and a 12% increase on its previous guidance.
Source: Company presentation.
As you can see above, Big Un has been growing at an explosive rate over the last 24 months. This is down to the strong demand for its video licensing products both domestically and internationally.
Pleasingly, management anticipates that this trend will continue for the foreseeable future.
Should you invest?
While Big Un certainly trades on a big valuation, I believe it can justify this premium due to the strong growth the company is exhibiting and the huge market opportunity it has internationally.
In light of this, I would class Big Un as a good buy and hold investment for investors with a high tolerance for risk alongside the likes of Updater Inc (ASX: UPD) and GetSwift Ltd (ASX: GSW).
