ARM Holdings ARM Holdings is a leading semiconductor and software design company known for its chip architecture used in a vast array of devices, including smartphones, IoT devices, and automotive applications. Apple’s customers range from Apple, Nvidia, Google, Amazon, Samsung, AMD, and many more reputable names. This makes the company indispensable in the industry because even its competition relies on its technology in one way or another. Arm was founded in 1990, but IPO’d on the public market this month at a valuation of 70B, 25% higher than projected, which makes it the most valuable IPO of the year. The company’s show revenue at 2.67B in 2020, 3.68B in 2021, 3.23B in 2022, and $2.68B so far in 2023. The...
CRM Overview: Salesforce is a leading American cloud-based customer relationship management (CRM) software company founded in 1999 by Marc Benioff. It is known for providing a suite of business software solutions that help organizations manage their customer relationships, streamline their operations, and drive growth. Salesforce has become so intertwined with businesses that leaving the software is almost not an option, which gives the company a strong market position. Their revenue model is also predictable considering it generates a substantial portion of its revenue from subscription-based services, leading to stable and predictable income streams. Fundamental analysis: Salesforce has grown steadily for several years now, more than tripling its revenue from 8.40B in 2016 to 31B in 2022. Like many other companies,...
S Chart done on daily timeframe. SentinelOne’s stock has had a tough quarter as the company attempts to recover from last earnings. The stock lost more than 40% after the report, but it has since then climbed slowly. The earnings ahead are expected to test the strength of the move from the lows. Although revenue grew in the last seven quarters, the company has either declined, or stayed flat in the last 12 months. Its decline is justified since it was highly overvalued, but if we’re using the 10x model, it is now in an attractive range, especially if they upkeep the revenue growth trend. Net income and cash flow are in the negative so make sure to keep that...
WMT Walmart is one of the few companies that has outshined its competitors in the big box retail space as inflation drove consumers look for budgets, especially in the household grocery department. The company’s recent earnings proved its strength amongst its competition as they beat both on revenue and profit projections, but is this enough to justify their current valuation near all time highs? Walmart is currently trading at a price to earnings ratio of 30, which is right around the Discount Store industry average of 29. It holds the largest market cap followed by by Costco and Target. Revenue trends for the giant retailer has grown substantially thanks to online sales in the last five years, and it is...
AYX Chart done on hourly timeframe. Alteryx is a software company that has managed to capture a very small amount of the data analytics market using a subscription-based business model. The company’s revenue flourished in 2019 after the pandemic and continued growing rapidly in 2020-2021; however recent quarterly earnings reflect a dramatic slowdown of revenue growth, which could explain the stocks decline. Something to note right away is despite its revenue growth in 2019-2021, the stock’s highs of $185 were never justified. AYX has never generated enough revenue to make it a reasonable purchase at that level, so this multi-year correction is completely normal. Valuation since those highs has fallen to about 2B, which is a much healthier market cap....
