Chris Wang speaks with Nicole Petallides, host of the Watch List and Market Overtime, about the cloud industry and its growing global megatrend. The group has seen real benefit from the pandemic, pulling revenues forward. Many names in the industry have been huge beneficiaries due to their their business models and Chris thinks this looks like a decent entry point to start building a position in several names in the cloud space.

Snowflake (SNOW)

  • They are disrupting one of the largest enterprise software markets with a product that unlocks demand for data analytics.
  • Snowflake makes data sharing easy and in a spectacular way. Customers are so happy with the product that they make celebratory videos on post on YouTube.
  • 4Q21 product revenue +116% year over year; backlog +213% year over year; customers +74% yoy
  • Backlog has grown from $83 million to a staggering $1.3 billion in just 9 quarters.
  • Valuation is a short-term risk with a very rich valuation but SNOW should be a long-term winner

td cloud

Are you invested in the cloud? What is your favorite cloud investment?

By Chris Wang