SPLK

Splunk Inc

TMT


Presented:09/17/2021
Price:$151.78
Cap:$24.52B
Current Price:$156.90
Cap:$24.22B

Presented

Date09/17/2021
Price$151.78
Market Cap$24.52B
Ent Value$24.06B
P/E RatioN/A
Book Value$7.02
Div Yield0%
Shares O/S161.55M
Ave Daily Vol2,080,740
Short Int5.41%

Current

Price$156.90
Market Cap$24.22B
Splunk, Inc. engages in the development and marketing of software solutions. Its products include Splunk cloud, Splunk light and Splunk enterprise. It also offers solutions for information technology operations, security, internet-of-things, application analytics, business analytics and industries. The company was founded by Erik M. Swan, Michael J. Baum and Robin K. Das in October 2003 and is headquartered in San Francisco, CA.

Publicly traded companies mentioned herein: Palo Alto Networks Inc (PANW), Splunk Inc (SPLK)

Highlights

The presenter is long shares of Splunk Inc (SPLK), which he views as a value play due to the market’s misperception of the replacement risk from next gen products as workflows move to the cloud. SPLK hit a low of ~$110 per share in early June, but then received a $1B investment from Silver Lake and now trades at ~$150 per share. Despite the investment from Silver Lake, investors remain concerned regarding the obsolescence risk and management’s credibility given past issues with guidance. In contrast, he believes the story is cleaner than it was a quarter ago, and therefore sees an attractive r/r setup with downside to $140 – $145 and upside to $200+ by the end of next year. 

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Idea Discussion

Commentor 1 - 2 weeks ago

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