Wandisco Share Discussion Threads

[tickboo] 29/9/2018 17:26

Perhaps with the new model in place they'll start reporting quarterly as the visibility/recurring revenue model lends itself to this. I doubt we'll get one in October but once they start to close more deals perhaps they'll do so from next year. Most yank investors like quarterly updates and if WAND is thinking of a US listing I'm sure they'll do so from next year.

[tickboo] 29/9/2018 16:37

A great post and well worth a read.

[owenski] 29/9/2018 14:16

Looks like WAND's business model is evolving - yet again - and now it's a recurring revenue model, but for smaller amounts circa 200 to 500k USD, but for multiple customers.

The recent one is for sub 3% of a customer's data pool, I doubt that it'll end up at 100% so it's difficult to calculate what the uptake will be. but as they expect a multi million dollar uptake over 'years', I conservatively calculated possibly £4m??. Remembering that this is just one customer of an expected 'many' in the pipeline.

Nature of cloud 'rental' models, which their major partners are selling, lend itself to WAND's recurring model, or more to the point, WAND have had to fit in with the nature of cloud business sales modelling.

TAM growth rates are impressive so give evidence of market size - but - WAND were saying that a year ago and I'd have thought the recent results would show evidence of that, ie' better figures, so I'm not surprised the share price has been weaning off from 1200 down to these levels, even here WAND is sitting on a 250m valuation and is technically still loss making with currently a pitiful relative revenue reported.

As I read it, the 'expected' major multi million dollar deal RNS'es that seem not to have happened for a while, wont happen again because WAND's sales model has had to change to fit in with the Cloud sales business dynamics model.

So the news flow as I see it, is now likely to be 'small but often' types of announcements, with the 'small' adding up in aggregate to quite large revenue numbers. As said, the previous 3% data pool is reckoned to progressively grow, thus is just the starting point of the relationship - whether they announce each time an uptake is achieved I don't know - but it makes for a clearer annual revenue which acts as a reporting base line that growth is continually added to. Also, this appears to be just one example of the expected deal flow to come via partnership sales, thus, as I'm reading it, no more multi million dollar announcements but plenty of initial 200k plus starting recurring revenue sales that get added to from the customer as they ramp up their data handling to Fusion etc.

I have some conviction that this is going to be successful just due to the route to market partnerships it's affiliated with - Microsoft touted as a tier zero partner, which is interesting as vendors normally have to configure software to suit the MS platform, but MS have configured their platform to suit WAND's product. That says a lot for how useful they seem to view what WAND offer.

Believe it needs news flow on contracts to show the model is gaining traction and that should start to justify current pricey and future ratings as sustainable.

WAND have come from a Hadoop offering to now cloud based fusion, so the business has changed and evolved, there was also the boardroom bust up from the past that hung over WAND, and now the model has shifted from licensing to recurring. Maybe WAND have now settled/grown into the required offering to match the evolving data/cloud/hybrid cloud market place, and that's ok, companies do need to evolve and adapt and WAND certainly have done that, but there also needs to be periods of stability so that the business can just get on with what it's supposed to do - which is - making money.

Just my thoughts NAI

[jackdaw4243] 28/9/2018 17:18

After hours trades will be interesting,the little late down turn would indicate sells. Good to see support holding at £6.00 plus. Monday will be interesting.

[tickboo] 28/9/2018 10:41

Even with light volume this doesn't look like a DCB to me. Let's get to £7+ and all feels better ;)

[superbobtaylor] 27/9/2018 17:06

China is signed up to all of the major IP treaties. Sometimes other countries feel it does not respect IP law as rigorously as it could... This was often the case in the past as they were behind. Now they have lots of their own IP that they will want others to respect so things are slowly starting to change.

SBT

[jackdaw4243] 27/9/2018 16:56

I am only going on what is written regarding US sanctions and reasons,Trump has trade reasons and in sometime instances calls it technology theft, however I would defer to you if it's not true.

[superbobtaylor] 27/9/2018 13:50

"China does not have a law on "patents" one of Mr Trumps problem with them"

Absolute nonsense. I work for a firm that files CN and HK jurisdiction patents every day of the week.

SBT

[jackdaw4243] 27/9/2018 13:26

Market makers short of stock imho

[jackdaw4243] 27/9/2018 13:24

Support and Resistance seem to be settling 😁

[tickboo] 27/9/2018 11:54

I can't even get a fixed quote on 250 by can still sell 7,500 at 6.60.001. A bit but order in the system?

[tickboo] 27/9/2018 11:49

I can sell 7,500 for 6.60.001 but negotiated trade to buy 1,000. Looking good to me.

[tickboo] 27/9/2018 11:40

Seems to be recovering. All about closing the deals now as hitting FY18 will be massive and bode well for subsequent years given the uplift in data needs and recurring revenues. Wish I had funds to add as hopefully we've already hit the bottom.

[tickboo] 27/9/2018 09:17

Good to see Alibaba signed up with wand then!

[jackdaw4243] 27/9/2018 09:12

China does not have a law on "patents" one of Mr Trumps problem with them.

[tickboo] 26/9/2018 12:45

If they just miss market expectations it won't be too bad (assuming they're near) as we know the recurring revenues will be good the following year and should be up on the up as their clients' data increases which is surely inevitable.I do hope they see fit to announce the first deal with Alibaba and therefore the first deal in China. Cloud is AWS', Microsoft's, Alibaba's and IBM's highest growth area so Wand should finally start enjoying that growth too. Yearly increasing recurring revenues cannot be sniffed at and wand has to deliver a really strong H2 as patience and jam tomorrow is wearing thin. An OEM with AWS and/or Google would get things motoring and I'm hoping that isn't too far off. Although they offer fusion it would be great to have it as a standard part of their offerings.

[nimbo1] 26/9/2018 12:06

No not yet - i'm going to let it settle and watch for a base forming. I will own again in good time I should think. Wandisco is on the cusp of being a great company I believe, but it is also in some ways a more risky time than ever.

[tickboo] 26/9/2018 11:40

Indeed. Buy back in?

[tickboo] 26/9/2018 11:39

Did it go lower than your stop losses so you were able to buy some back for cheaper (if you wanted)? All being well with the recent win which will be executed in Oct they could fit another few such projects in before year end. Assuming the first one's a success the client may want to push on with more before year end. Here's hoping as we need a storming H2.

[nimbo1] 26/9/2018 11:38

impressive bounce.

[tickboo] 26/9/2018 11:05

KtoKP, if we get some updates such as Alibaba's first win and some decent wins like yesterday's (I mean $200,000 for a project of 3% of their data with recurring revenue and likely 20 or so more such projects worth recurring revenue so assuming it's accurate that could well be several $m pa) as well as IBM's usual large on-premise deals in Q4 I believe sentiment and an uptrend will return. A bonus would indeed be DR or IIs snapping up more shares down here. NASDAQ and the like prefer the visibility as well as investors, fund managers etc so the move should reap rewards after short term pain.I had 1,000 above my core holding which I bought for nearly £11 and sold some yesterday morning before deciding to buy back which luckily only cost me £100 or so but a long way to go before £11. Core holding is at 4.85 so I'm holding and hope to be able to sell the 1,000 end of Jan when we hit or exceed expectations and we're back in double figures.

[jackdaw4243] 26/9/2018 08:54

Hit my stops so significant reduction in my holding.

[knighttokingprawn] 25/9/2018 21:14

Tickboo

You are right to flag II .. the stock can go nowhere with juts a closely held group of II and retail money flowing in and out with just momentum trading.. it needs new conviction for the big II to add .. and in that regard they are doing the right things (CFO influence) .. the question is now can they execute .. the “pivot” as DR calls it , needs to pay off this half year in my opinion.. if not you will see departures .. ( we have seen nothing yet) .. and in fairness to the bears in this thread they are right .. the current revenue and booking momentum is not enough to justify valuation and certainly not enough to think this is a double from current levels .. but DR knows this and he does own a lot of the stock ..my plea to him here and now would be “ buy some of your own stock” and show us tiuvthink it’s cheap.. now that would be a thing ...

[tickboo] 25/9/2018 18:36

They said in last year's raise they'd spend the money on accelerating growth with their channel partners and execution so engineers. Good to see in the interim that's what the money has been spent on. As well as integration and channel marketing with Microsoft and Alibaba they're working on integration with IBM too for new products. The bookings number and revenue were poor but we knew from the balance sheet they'd burnt some money which was to be expected so I'm not too disheartened.I agree hopefully some IIs see this as a buying opp but at the very least they continue holding and believe the EWT approach will yield good results in the form of recurring revenue that should grow each year with their data.

[tickboo] 25/9/2018 18:30

He and the chairman didn't back DR plus Sage is a very different Co as is Just Eat.