WANdisco

LN: WAND

£288.2m market cap

640p last close

WANdisco is a distributed computing company. It has developed a suite of solutions based on proprietary replication technology, which solve critical data management challenges prevalent across cloud computing, big data and the ALM software markets.

Investment summary

WANdisco made substantial strategic progress in FY18, deepening both its partnerships with major cloud providers and broadening its product base. With discussions over a strategic deal with a major cloud vendor still ongoing and FY19 off to a good start (Q1 revenue up 38% y-o-y), we leave our forecasts largely unchanged. In our view its exceptional growth prospects and potential strategic value justify a premium rating.

Y/E Dec
Revenue (US$m)
EBITDA (US$m)
PBT (US$m)
EPS (fd) (c)
P/E (x)
P/CF (x)
2016A 11.4 (7.5) (16.4) (46.9) N/A N/A
2017A 19.6 (0.6) (7.8) (18.6) N/A 486.4
2018E 18.7 (5.9) (13.4) (30.2) N/A N/A
2019E 31.8 1.3 (6.5) (13.7) N/A 71.2
Last updated on 17/04/2019
Industry outlook

WANdisco’s core Fusion product enables clients to move large amounts of data over large distances while still using it. This capability means that the company is exceptionally well placed to benefit from the rapid shift of data to the cloud (both for pure cloud and hybrid environments) and potentially Blockchain as well.

Last updated on 17/04/2019
Sector
TMT
Share price graph
Balance sheet
Forecast net cash (US$m) 10.7
Forecast gearing ratio (%) N/A
Price performance
%
1m
3m
12m
Actual (11.1) 18.1 (27.1)
Relative* (13.8) 8.5 (29.0)
52-week high/low 1250.0p/340.0p
*% relative to local index
Key management
David Richards CEO
Erik Miller CFO

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