Wandisco Share Discussion Threads

[nimrod22] 12/3/2018 08:44

Good news has become the norm at WAND

[nimbo1] 09/3/2018 09:45

These are suffering from a few things imo. No guidance given, very hard to quantify what the OEM deals actually mean until we see numbers coming through. Mention in results that timing of contracts hard to predict but pipeline strong. Im beginning to disagree with the self promotion on twitter etc by DR, just not the normal management style I follow. Clearly partner strength is excellent and wand could be massive / of strategic importance to cloud industry so I may be worrying unnecessarily. As mentioned by you guys and girls next trading update all important and I think it will need to be good to move higher.

[tickboo] 08/3/2018 16:06

From the Edison note -The announcement of an OEM partnership with Chinese internet giant Alibaba adds a significant new channel for growth. Alibaba is the sixth largest cloud platform globally and revenues doubled in Q4 to $553m ($2.2bn annual run rate). WANdisco Fusion will be embedded as a standard component in selected Alibaba cloud solutions. The press comment from Alibaba cites the migration to cloud, disaster recovery and hybrid cloud enablement as the use cases underpinning the partnership, highlighting the broad applicability of Fusion. We understand that the technical integration is close to completion and we expect the companies to start building a commercial pipeline with immediate effect, with first deal flow likely in H2.WANdisco's EV/sales rating of 17.1x and 13.4x for FY18 and FY19 respectively remains a premium to peers, although upgrades have narrowed the premium substantially. WANdisco's investment case has always been predicated on the potential for it to scale into a significantly larger, highly profitable business.Our DCF suggests the current share price requires sustained bookings growth of c 35% (ie a touch higher than forecast for FY18 and FY19) through 2025 with EBITDAC margins growing to exceed 25%. In practice, we believe that if WANdisco continues to strengthen its platform of tier one channel partners, it should be well placed to grow faster than this. Most of the company's partners are growing their cloud revenues at a faster rate. With a broad addressable market, a strong IP position and an indirect sales model, healthy 25%+ margins should be readily achievable if execution remains good, although we expect the emphasis to remain on growth over margins in the near to medium term.The company's potential strategic attractiveness should also not be ignored. We are seeing M&A from industry majors as they build out their cloud/hybrid strategies – most recently with Microsoft buying Avere Systems, a high-performance storage vendor for an undisclosed amount. We believe that WANdisco could potentially be a good fit for a number of cloud/enterprise software players.

[tickboo] 08/3/2018 13:52

I agree, the price is still high relative to revenue so waiting for an update makes sense. Alibaba has the smallest share of the majors but it's growing the fastest which is encouraging. It's great there it's an OEM rather than a strategic agreement as wand's tech will be part of every sale. A reminder below. Under the sales agreement, WANdisco Fusion, a solution that seamlessly replicates transactional data at petabyte scale without downtime or disruption, will be sold as a standard component on Alibaba Cloud, covering several key aspects including Live Data migration to Alibaba Cloud, Alibaba Cloud for disaster recovery and hybrid big data with Alibaba Cloud. Hoping the trading update in April impresses and we have some chunky Contract RNSs beforehand.

[knighttokingprawn] 08/3/2018 12:30

Tickboo. Suggests we are indeed waiting for numbers to go with the partnerships. Agree with your revenue maths and that implies at £10 a share we are trading at circa 13x revenue ! So a brave man that steps up here to own these at £8!

Institutional money would have as a hold! Waiting for a big q to begin betting on further revenue momentum...

It underlines that the stick is not cheap .. very little on the ndx trading at such multiples ( if any).. so explains the caution I think.

[tickboo] 08/3/2018 08:11

Am a little surprised there hasn't been more interest and volume. Oh well, here's hoping the sales team delivers and existing clients up their spend.

[nimrod22] 08/3/2018 04:04

Write-ups in the online Daily Telegraph and Evening Standard with the usual positive comments about Alibaba etc

[tickboo] 07/3/2018 15:09

Sounds good. Hopefully Q1 results next month are positive and then the trading update in July too. They definitely need to keep the momentum going but it all looks good.

[nimrod22] 07/3/2018 13:50

There's a buy recommendation by Graeme Davies re results in today's Investor Chronicle email

[tickboo] 07/3/2018 12:39

The presentation is up and pretty good. The intro and operational bit especially. The financials you may as well look at the slides. The breadth of the OEMs and strategic partnerships prove what great products WAND has. Hopefully the Q1 update in April won't disappoint.

[tickboo] 07/3/2018 11:10

Agreedqhich is why getting better geographical reach is important as you don't want to be reliant on one geography. Great news Alibaba has signed up today (I imagine the improved balance sheet was fundamental to that) and a little while ago -WANdisco (LSE: WAND), the Live Data company, announces today it has secured a sales agreement with Bytes Technology Group UK, a leading provider of software licensing & cloud services and a subsidiary of the $2.75bn Altron Group, to co-sell and re-sell WANdisco's patented Live Data platform, WANdisco Fusion, as its standard cloud migration solution to UK customers.Bytes is Microsoft's largest partner in the UK and a Cloud Licensing Solutions EMEA Partner, with a market share of 35% for Microsoft Azure in the UK. Bytes is also an Oracle Cloud Partner and has a strong relationship with Amazon Web Services. With WANdisco Fusion(R) already fully integrated with Microsoft Azure Data Box, Microsoft Azure HDInsight and AWS Snowball the synergies of the sales partnership with Bytes are clear. Bytes' customers include leading brands such as Marks & Spencer, BBC, NHS, Clifford Chance, United Utilities and thousands more across the retail, media, finance, manufacturing, legal and the public sectors.David Richards, CEO and Co-Founder of WANdisco said:"We are very excited about our new partnership with Bytes - they hold strong relationships with our existing partners and the contract significantly expands our sales channel opportunities. It is also another proof point of the critical role our Live Data platform, WANdisco Fusion, plays in the cloud and on-premise ecosystem."Neil Murphy, UK Group Managing Director said:"When considering sales partners for our Cloud Solutions portfolio, WANdisco was the clear choice. With this announcement, we are able to bring the benefits of WANdisco's unique Live Data platform to our customers who need to migrate data to the cloud, and run hybrid environments while ensuring their data is always available, accurate and protected."

[ralphmalph] 07/3/2018 11:04

I should also add that the US sales are 17.7 mill and Europe is 2,8mill so growing US sales far more important than EU ones.

[ralphmalph] 07/3/2018 10:56

There is some interesting stuff in the detail in the release.
US sales doubled in 2017 from 2016. Europe Sales grew 16% asian sales fell slightly.
Plenty of momentum in the large homogenous US marketplace. Slow growth bankrupt EUland a bit of a concern.
Largest customer in 2016 did 563K in revenue in 2017 that customer did 7.7MILLION yes million, revenue growth of 13.67x. We can all guess who this is and seeing as those sales people in that org are all making money selling this hot product word of mouth means that all the other sales people will want to get on for the commission. Salespeople sell what is easy to sell.
2 Financial services contracts are over 4mill when revenue fully booked.

[tickboo] 07/3/2018 09:58

I use my phone and have no idea why I get random ? etc in between letters and words. It's not showing before I press submit.

[tickboo] 07/3/2018 09:47

If they double the big data revenue to say $32m (from $15.7m)and the source management stays at around $8m ($8.5m in 17) that's $40m but of course at £10 we're above the multiple of 10 given the number of shares in issue and more importantly currency. It's still a favourable valuation but this year has to surely be break even or profitable. I understand they'll invest in engineers et al but stopping burning cash would be great. The potential here is huge and hopefully they'll spend the monies raised effectively and we'll see attractive NPD with large markets and continued momentum with direct and OEM sales.

[knighttokingprawn] 07/3/2018 09:34

Tickboo , what sort of multiple do you think the market will put on the forward revenue? On a journey £10 I reckon the market would want to see momentum to £40mn ... it makes me cautious as I don’t see that in the numbers in terms of visibility ..it’s still very spotty ( albeit impressive).. I think that’s why we need to see better in terms of revenue vs oem announcements... so not sure the new money comes in till we get a vet big q !!

So agree this is great news but sure it’s a catalyst.

[tickboo] 07/3/2018 09:23

It will do. A nice 10,000 but gone through. The US will love this even more so. I'm fully loaded here and no spare funds even if I wasn't. As mentioned with the IBM OEM being established and the others as well as the NPD, money to invest in channel managers and engineers I expect big data revenue to at least double having done so last year.

[runthejoules] 07/3/2018 09:05

As a buyer. Unsure how it fit in with their portfolio though. As a potential client, TenCent do cloud too don't they? I'm just listing big companies now, listen to me! Quite quiet here, don't think this has sunk in yet.

[tickboo] 07/3/2018 08:44

I think this will be above £8 in no time so should be all good.SoftBank who bought ARM, as a client?

[runthejoules] 07/3/2018 08:36

Yep tickboo. Should have had patience. Market doesn't like this as much as me! Perhaps people are thinking that with all these many partners it makes a bid from one less likely? Me, I see breakeven as finally inevitable now and Softbank as a possibility. Can't remember if they already have a China office?

[tickboo] 07/3/2018 08:11

I agree this should start gaining momentum but I don't like the morning gap up which may get filled before rising properly. The potential here is seemingly massive and great news Alibaba are on board, they're with all the major players so this should be a great year of further growth.

[runthejoules] 07/3/2018 08:05

Added at 799p, can see some rerating happening on the back of this.

[tickboo] 07/3/2018 07:29

Hopefully it doesn't gap up and you can nab a few early doors before the mob comes in. Sure once the US wakes up they'll be all over this too.

[tickboo] 07/3/2018 07:28

I just read it is an OEM sales agreement. I hope they've sold to Alibaba but it doesn't seem to imply that?Under the sales agreement, WANdisco Fusion, a solution that seamlessly replicates transactional data at petabyte scale without downtime or disruption, will be sold as a standard component on Alibaba Cloud, covering several key aspects including Live Data migration to Alibaba Cloud, Alibaba Cloud for disaster recovery and hybrid big data with Alibaba Cloud. The partnership represents a substantial increase in WANdisco's addressable market and a significant extension of its channel strategy.Mr. Hong Tang, Chief Architect of Alibaba Cloud, commented:"We believe WANdisco's unique Live Data platform can significantly help our customers to leverage cloud for their data computing demands, whether it is to migrate their on premise data to our cloud, utilize cloud for disaster recovery solutions or maintain a hybrid-cloud solution, while ensuring their data is always available, accurate and protected."

[runthejoules] 07/3/2018 07:20

brilliant, wish I hadn't reduced a while back! :0(