Roper Technologies has generally executed well over the past number of years. We offer three recommendations to Roper for driving superior operational performance and shareholder returns. 1.) Focus the Enterprise Software M&A strategy: This is Priority One. To date Roper has taken a buckshot approach to M&A with acquisitions scattered across the Software landscape. This … Continue reading Here’s How Roper Technologies (tkr: ROP) Can Raise Its Game
Category: Mergers and Acquisitions
Debt remains cheap. Strategic acquirers and PE firms are flush with cash. It doesn't take a genius to arrive at the conclusion that Software & Services M&A activity will remain healthy in 2020 all else held equal. (tickers mentioned: ACN, AVGO). Today's news that Accenture (ticker: ACN) agreed to acquire Symantec's CyberSecurity Services business from … Continue reading One M&A Prophecy Fulfilled. More to Come.
The TEK2day PropTech Outlook provides our perspective on where we believe the PropTech industry is headed over the next few years. Major themes include: I.) further industry consolidation and II.) AI-driven revenue opportunities and operating efficiency gains. The TEK2day PropTech Landscape (link at the bottom of this article) includes company names, descriptions, CEOs, 2019 revenue … Continue reading TEK2day PropTech Outlook & LandscapePremium
The asset management game is all about Assets Under Management ("AUM"). The entertainment game is all about "IP". By the way, Bob Iger likes Bond. Asset Management & Entertainment Share a Hunger for Assets Over the past decade asset managers have shifted away from active management and alpha generation in favor of index funds and … Continue reading BlackRock and Disney Have This in Common…
Venmo - PayPal’s crown jewel - built its network on Facebook’s back. Facebook (tkr: FB) ought to move to acquire PayPal (tkr: PYPL). Venmo is perhaps the most user-friendly Peer-to-Peer ("P2P") payment service in large part due to its Facebook integration which makes it easy for users to connect and transact with each other. Connect … Continue reading Facebook + PayPal = Payments Powerhouse
With Michael Bloomberg throwing his hat into the ring for the 2020 Democratic nomination, many have speculated as to how Bloomberg would divest his equity stake in his namesake firm were he to win the Presidency. We don't expect Mr. Bloomberg to win the Office of the President nor would a sale necessarily be required … Continue reading Prospective Bloomberg LP Acquirers
We look at a few leading FinTech and Information Services companies from a cash flow perspective. (Tickers mentioned: CSGP, FDS, INFO, MSCI, SSNC, VRSK). I reflect on a few names I used to cover during my equity research days. For purposes of this exercise we review SS&C Technologies, Verisk Analytics, IHS Market, FactSet Research Systems, … Continue reading FinTech and Info Services
Consistent pursuit of a focused mission tends to pay dividends over time. We provide several examples of public FinTech companies that have successfully done so. We include growth opportunities and near-term risks for each company. Companies mentioned: FactSet Research Systems (tkr: FDS); PayPal (tkr: PYPL); SS&C Technologies (tkr: SSNC); Stripe (private) FactSet Research Systems (tkr: … Continue reading For These FinTech Names Staying the Course Paid Off.Premium
When is the correct time to sell your company? Many entrepreneurs and CEOs struggle with this question. A blueprint unfortunately does not exist. Below are signposts we have observed primarily across Application Software, FinTech, InsurTech, Information Services, IT Services and Technology-Enabled Services. The company participates in a mature end market and continued growth is dependent … Continue reading Is It Time to Sell Your Company?
We recently wrote that “Scale Matters in Tech”. Technology companies that have captured the number 1 or number 2 position within a particular vertical enjoy Economies of Scale including: 1.) automatically getting a seat at the table for sales bakeoffs, 2.) job seekers naturally gravitate toward market leaders, 3.) prospective acquisition targets will find you, … Continue reading Three Activist Investor TargetsPremium