Category: Information Services

Accenture Is Preparing to Double-Down on M&A. We Share Our Ideas for Likely Target Areas.

Accenture Is Preparing to Double-Down on M&A. We Share Our Ideas for Likely Target Areas.

Companies mentioned: Accenture (ACN), Alibaba (BABA), AWS (AMZN), Azure (MSFT), Bottomline Technologies (EPAY), Broadridge (BR), DataRobot (Pvt.), GCP (GOOG), IHS Markit (INFO), Oracle (ORCL), Palantir (Pvt.), Qlik (Pvt.), Solera (Pvt.), SS&C (SSNC), Tibco (Pvt.), Verisk (VRSK). Accenture’s CEO of North America, Julie Sweet, will become CEO of Accenture effective September 1st 2019. Ms. Sweet is … Continue reading Accenture Is Preparing to Double-Down on M&A. We Share Our Ideas for Likely Target Areas.

Vendor Due Diligence and Investment Due Diligence Processes Are Similar

Vendor Due Diligence and Investment Due Diligence Processes Are Similar

Whether evaluating a company as an investment vehicle or as a potential vendor, the processes are similar. Three elements are at the heart of our due diligence process when we evaluate Technology companies as investment vehicles and when we evaluate them as vendors. 1.) Quality of the Management Team. We listed this attribute first as … Continue reading Vendor Due Diligence and Investment Due Diligence Processes Are Similar

Real Estate Tech<span class="badge-status" style="background:red">Premium</span> 

Real Estate TechPremium 

From Satellite Imagery to 3D Maps to Home Rentals to Smart Home Devices and More Companies mentioned in this report: Airbnb (private); Alarm.com (ALRM); Amazon (AMZN); Apple (AAPL); ARCHIBUS (private); Autodesk (ADSK); CoStar Group (CSGP); DigitalGlobe/ Maxar Technologies (MAXR); DocuSign (DOCU); EagleView (private); Ellie Mae (private); ESRI (private); Facebook (FB); Fidelity National Financial (FNF); Google … Continue reading Real Estate TechPremium 

Streaming Services Unbound

Streaming Services Unbound

There are a number of new streaming content providers on the block such as YouTube TV, ESPN+ and the forthcoming Disney+. In addition, legacy content providers such as the New York Times and CBS have caught subscription fever. (free article) Subscription fatigue? Time will tell. We provide subscriber metrics including number of paid subscribers and … Continue reading Streaming Services Unbound

Rideshare as an Investment? Don’t Be Spun by the VCs

Rideshare as an Investment? Don’t Be Spun by the VCs

Rideshare as a long-term investment? Right up there with owning an airline. Heck, even if the rideshare companies were operating at scale - running on autonomous vehicle fleets - would you really want to own that business? Depreciating assets, multiple competitors (it will be more than Lyft and Uber), and thin profit margins (we are … Continue reading Rideshare as an Investment? Don’t Be Spun by the VCs

Scale Matters in Tech

Scale Matters in Tech

Scale matters in Tech. This has never been more true as businesses increasingly go global. Consider Netflix's $13 billion content investment in 2018. Amazon and its Borg-like Prime service is also a significant content player. To round out the “Big 3”, consider Disney and its ESPN+ SVOD (“subscription video on demand”) service as well as Disney’s … Continue reading Scale Matters in Tech

Build. Acquire. Repeat.

Build. Acquire. Repeat.

Some companies execute smart, strategic acquisitions better than others. Here’s a short list of publicly-traded FinTech & Info Services companies that do M&A well: CoStar Group (tkr: CSGP), Intercontinental Exchange (tkr: ICE), IHS Markit (tkr: INFO) SS&C Technologies (tkr: SSNC) and Verisk (tkr: VRSK). Click Here for Revenue, EBITDA and related metrics. We love FinTech … Continue reading Build. Acquire. Repeat.

Acquire or Be Acquired: FinTech Lions and Lambs

Acquire or Be Acquired: FinTech Lions and Lambs

FinTech market disruption has led to a bifurcation of FinTech providers - Lions and Lambs. See our "Lions & Lambs" company list with commentary at the end of this note. The FinTech space - whether it be the Capital Markets flavor or the Payments variety - is undergoing rapid change. Within Capital Markets - alternative … Continue reading Acquire or Be Acquired: FinTech Lions and Lambs

We Expect Outsourcing Providers to Gain Traction with Insurance Carriers

We Expect Outsourcing Providers to Gain Traction with Insurance Carriers

Many insurers are hesitant to invest aggressively in AI & ML initiatives given that the ROIC is difficult to quantify. This conservatism combined with market disruption bodes well for technology & service providers that offer an Outsourcing option with a demonstrable ROI. Examples include Accenture, EXL Service, IBM Global Services and SS&C Technologies. Plus - … Continue reading We Expect Outsourcing Providers to Gain Traction with Insurance Carriers

Technology Buyers Would Do Well to Think Like Investors

Technology Buyers Would Do Well to Think Like Investors

When considering enterprise technology purchases – regardless of industry – corporate buyers would do well to think like investors. There are three legs to the technology evaluation stool: 1.) What is the technology provider’s value proposition? 2.) Who is the technology provider? (corporate buyers often pay insufficient attention here) 3.) What is the total cost … Continue reading Technology Buyers Would Do Well to Think Like Investors