Reply to this post Comfortably ahead of Amazon AWS and Alicloud Microsoft announced incremental improvements to its best in class offerings for enterprises and knowledge workers in a session that demonstrated its lead in corporate AI services but further highlighted to me how slow the pace of AI development really is. Microsoft’s offering is based...
Reply to this post Another excellent year ahead. Alibaba reported excellent FQ4 18 results and guided very strongly for the year to come as its investments in offline retail begin to contribute to revenues. However, this does come at a cost as offline retail is unlikely to ever match the profitability of Alibaba’s online market...
Reply to this post Prospectus yields valuation of $33.3bn. Being as optimistic as I dare, I can only value Xiaomi at $33.3bn, one third of the mooted $100bn IPO valuation. Xiaomi has filed for its IPO in HK meaning that real numbers can be applied to the valuation logic that I applied in part I...
Reply to this post Only scale slows growth. Spotify reported maiden results that met expectations but disappointed the speculators who have driven the stock up since the IPO on the hope that a rabbit would be pulled out of the hat. As a result, some of the speculative premium was lost as these investors are...
Reply to this post Apple FQ1 – Privacy safe house. Apple reported good FQ2 results where the star of the show was software and services which helped divert attention away from the lacklustre growth of the iPhone as the smartphone market stagnates. FQ2 revenues / EPS were $61.1bn / $2.73 slightly beating expectations of $59.9bn...
Reply to this post Google alliance shutters ecosystem aspirations. With one stroke of the pen, Fitbit has most likely consigned itself to becoming yet another long-suffering hardware maker hanging off Google’s apron strings. Fitbit has entered into an alliance with Google where Fitbit will use the Google Healthcare API to get access to the health...
Reply to this post Profitability limit is a shot in the foot. Voluntarily limiting one’s ability to make money for shareholders is not the wisest course of action when one is about to try and entice them to buy more shares at a $100bn valuation. Xiaomi has stated that it will ensure that its net...
Reply to this post There is worse to come. Facebook reported excellent Q1 18 results, but in my opinion, has yet to experience the impact of its current problems on its financial performance. I see this resulting in a relief rally, that represents an excellent opportunity to reduce holdings. Q1 18 revenues / adj-EPS were...
Reply to this post Long life may not bring prosperity. Data being gathered on Tesla’s battery performance is pointing to a range of 500,000 miles before 20% of the battery capacity depleted. This echoes RFM’s automotive ecosystem research (see here) which uses a 20% battery capacity depletion as the point at which the vehicle needs...
Richard is founder, owner of research company, Radio Free Mobile. He has 16 years of experience working in sell side equity research. During his 11 year tenure at Nomura Securities, he focused on the equity coverage of the Global Technology sector.
Google i/o – The meh factor.
Reply to this post A rather subdued affair. Android P offered up such marginal improvements that Google was forced to rely on previews of long-term work in progress to generate any meaningful wow factor. As has become customary, Google ignored the really important issues with its Android operating system and instead rolled-out a series of...