$PLTR Investors should focus more on Foundry, the commercial business and leave behind the past $PLTR of US Gov’t
In this analysis, I utilize my experience as a Product Lead for AI projects to highlight factors I believe differentiates Palantir.
Below is a thread of the report-
1/ The best way to understand $PLTR software philosophy. Think of it as a funnel.
i) Data Integration to absorb data
ii) Knowledge & Data Management
iii) Advanced search and discovery
iv) Intuitive app to drive collaboration
It goes back to the early days with Peter Thiel.
2/ The Four Tenets that guide Foundry:
i) Ontology of data and wide-ranging use case templates
ii) Advanced AI Capabilities and simulation modelling from the ontology
iii) Modularization with a variety of software apps
iv) Interoperability with any data platform such as IBM’s
3/ Competitive advantages of $PLTR Foundry
• Vertically integrated full-stack AI pipeline
• Advanced data gathering and integration.
• The software’s ontology to be utilized across a wide-variety of industries.
• The ease and intuitive nature for non-technical folks
4/ I evaluate $PLTR's commercial business:
• I discuss how Palantir’s software is being utilized by over 16+ industries and the optionality
• How the IBM Collaboration will accelerate the potential for future partnerships
- I expect Foundry to make up a larger part of $PLTR
5/ For more information on $PLTR's commercial business updates and the Q4-Earnings report, if you missed my thread, there you go!
FYI: Happy to hear the thoughts of similar folks who study the Analytics landscape?
@SeifelCapital - I know you've been doing research lately on A.I. - How do you stack up $PLTR chances against $AI ?
I highlight them as one its closest competitors with regard to Moats?
I believe that $PLTR Foundry partnership w. $IBM establishes a major moat within the full-stack analytics Eco
Key Highlights:
✔️Q4-2020 Revenue: Actual $139M vs. Est. $130M (53% YoY Growth) (7% Surprise)
✔️EPS: Act. $0.10 vs Est. $0.12
✔️Q4- GAAP Ops. Income Margin of 21% and Adjusted Margin of 45%
✔️FY 2020: 63% YoY Growth
This is a Top-class company-✅🔥
Part 2 - $ZI
- Cash flow from operations of $169.6 million, and Unlevered Free Cash Flow of $243.7 million.
- $ZI closed the year w. >20,000 customers, including more than 850 customers with $100,000 in annual contract value
- FY 2021 Guidance below
Part -3: - $ZI
* I may start another position again as I sold my position a few weeks ago.
- Top-line Revs growing >50% consistent
- High gross and ops margin
- Founder-Led with three awards for 2020 culture & placed No. 15 on for Best Company Culture
- Moat within sales teams
Weekly Fundamentals✅: $VUZI Corp was 🆙 over 30% today.
I've been talking about $VUZI since it was $9 b'cos of the capability to solve key problems across multiple verticals.
So here below was my thesis (maybe its why $ARK Invest bought? or $AAPL is investing here)
Thread👇:
This $VUZI thread contains of the following
1-5: Overview & industry use-cases
7 - Financials
8 - Industry
10 - Competitive advantages I believe makes $VUZI maintain a good position in the AR Market
*There are risks, but you'll need to be open-minded & be big picture minded*
1/ $VUZI
They design, manufacture, market and sell Augmented Reality (AR) Smart-Glasses display, wearable computing, AR optics technologies, display engines and products for the consumer and enterprise markets.
*No, this is a real product being used today, not a story stock*
Leading Canadian provider of cloud-based software solutions designed to improve efficiency within the Legal tech industry holds a MONOPOLY.. yes extremely rare.
Q2-2021 (3-mths) Revenues grew $33M (96% YoY)
Cont'd below..
$DND $DND.TO
Financials:
- For the 6-months ended 2020 with $55M (63% YoY)
- Guidance for June 30, 2022: Revenue of over $340M (> +100% Growth) *includes acquisition of DoProcess*
Most of their acquisitions are being integrated earlier than expected
Adj. EBITDA $200M (below)
$DND $DND.TO
Managements goal:
They are focused on dominating the legal and real-state tech platform markets within Canada, the UK & Australia.
Hence, the strategy is to continue:
- Acquisitions to capture competitors
• Broaden and expand customer base
• Innovate platforms
- Rev of $89M vs Exp $75M Exp. (16% beat)
- 146% Growth YoY (58% organic growth as MP reps $31M
- EPS: $0.21 vs Exp $0.17 (23% beat) - 425% earnings growth
Cont'd - Hope you find helpful! - 🙌
1b/ Financials $APPS:
- GP expansion – 166% – due to content
- GM 43% - content media, apps business based on revenue mix is driving margin expansion
- Ops. margin expanded by 23.2%.
- Adj. EBITDA up by 302% Y/Y to $22.51M; and margin expanded by 25.4%
- FCF keeps improving
2a/
- Overall International revenue is gradually representing a much higher share than US
- Revenue Per Device (RPD Growth) which is key metric is growing - nearly 70% growth in Int'l
- Int'l supply revenue for media grew 200% YoY
- Primarily from partners such as Samsung, Xaomi
Digital Turbine, a platform provider for building apps, enabling content discovery and mobile digital ads
Why I'm bullish L-T: 1/ They have a strong competitive position within the mobile operator-advertiser niche for android devices.
Cont'd -
2/ $APPS Growth Pillars:
- SingleTap is a new product where a user can automatically download an app in a single-tap without visiting the actual app
- Mobile Posse: Product that goes natively on a phone and includes news, sports, ads etc.
- 5G roll-out and Increased phone ads
3/ $APPS software is installed on over 450M+ phones, and this total is increasing by 20M phones per month
$APPS is increasingly building additional revenue streams, such as providing content for carriers such as Sprint
Major clients include Samsung, AT&T, Verizon, Uber.