Every week I’ll provide updates on the latest trends in cloud software companies. Follow along to stay up to date! Cloud Downgrades This week UBS came out with a couple research reports citing concerns in AWS / Azure growth. As I’ve talked about before, the big risk for 2023 are fundamentals - are forward estimates too high? If we rewind back the clock to the start of 2022 the big debate was rates. Inflation was starting to run rampant and we knew rates were going up. We didn’t know when inflation would cool or how high rates would go, but we knew they were going up. Call this a “known unknown.” Today I believe the known unknown are fundamentals. We know software is impacted from macro - but how bad will it get? How far do forward estimates need to come down? It’s very tricky to predict.
Thanks for sharing your takes, as always. Any personal thoughts on UBS' third takeaway of "a shift into a more mature “phase two” of market development, marked by slower growth of more difficult-to-migrate workloads"?
I think the EV/2023 Rev should be EV/2024 rev?
Snow isnt 8.4x forward ev/s
Thanks for sharing your takes, as always. Any personal thoughts on UBS' third takeaway of "a shift into a more mature “phase two” of market development, marked by slower growth of more difficult-to-migrate workloads"?
Super interesting as always! Could you also include the Bottom 10 Weekly share price movement?