In today’s briefing:
- Amcor Ltd/Berry Global: Packing Them In
- Quiddity Leaderboard S&P 500 Dec 24: APP, APO, and TPL May Be ADDs, Watch SP600 DELs
- Tesla’s Big Bet: Why Trump’s Autonomous Push Could Supercharge Their Future!
- Nvidia: Maybe a Few Short-Term Concerns but Blackwell Looks like a Step Function Upwards
- Qualcomm Investor Day: Based on Management Forecasts, Best Case 13% Operating Profit Cagr to FY29
- Expedia Group Inc.: These Are The 7 Biggest Factors Impacting Its Performance In 2025 &Beyond! – Major Drivers
- Dynatrace Inc.: How Strategic Investments Are Securing Its Competitive Edge & Future Revenues – Major Drivers
- EPAM Systems Inc.: An Analysis Of Its Global Expansion & Diverse Delivery Locations & Other Major Drivers
- Insulet Corporation: Its Efforts Towards Continued Sensor Integration & Improvements & Other Major Drivers
- Cloudflare Inc.: An Insight Into Its Product Diversification & Innovation & Other Major Drivers
Amcor Ltd/Berry Global: Packing Them In
- Packing giants Amcor Limited (AMCR US/AMC AU) and Berry Global Group (BERY US) announced they will combine in an all-stock transaction, with a ~63%/37% ownership split (respectively) in the MergeCo.
- Amcor will issue 7.25 Amcor shares for each Berry share, for a US$73.59/share implied price. US$650mn of benefits from identified cost, growth and financial synergies by end of third year.
- Closing, subject to shareholder and reg approvals, is targeted in the middle of 2025. The transaction has been unanimously approved by the boards of both Amcor and Berry.
Quiddity Leaderboard S&P 500 Dec 24: APP, APO, and TPL May Be ADDs, Watch SP600 DELs
- The S&P 500 index tracks the 500 largest names listed in the US and it is one of the most highly-tracked indices in the world.
- In this insight, we take a look at the upcoming constituent changes in the run up to the December 2024 index rebal event.
- We expect two regular changes in December 2024. There are also several live spin-off and M&A events which could trigger intra-review index changes in late-2024/early-2025.
Tesla’s Big Bet: Why Trump’s Autonomous Push Could Supercharge Their Future!
- During Tesla’s third quarter of 2024 financial report, several key points emerged that provide an overview of the company’s performance and strategic direction.
- One of the prominent highlights was Tesla’s achievement of record deliveries in a market experiencing overall industry declines.
- This emphasizes Tesla’s ability to navigate a challenging automotive landscape, an important consideration for investors assessing the company’s resilience and market positioning.
Nvidia: Maybe a Few Short-Term Concerns but Blackwell Looks like a Step Function Upwards
- 3Q25 (Oct-25) 5% above Consensus, Hopper growing incl H200, no Blackwell revenue. 4Q25 (Jan-25) guidance inline with Consensus but Nvidia has beat guidance for 8 quarters.
- Jan-25: Blackwell revenue “several billion dollars”. Supply keeps to increase but supply constraints. GM will moderate to low-70% during Blackwell ramp due but will stabilize at mid-70%.
- The stock is not expensive, trading at its average multiples since 2019: 51x trailing EPS, 34x forward EPS. These multiples are high in an absolute sense, but average for NVDA.
Qualcomm Investor Day: Based on Management Forecasts, Best Case 13% Operating Profit Cagr to FY29
- QCOM estimates ~5% Android revenues growth Cagr to FY29, Automotive 22%, IoT 21%. If QCOM keeps Apple business, revenue Cagr will be 9% to FY29. If QCOM loses it: 6%.
- Mngt forecasts high Opex control, target at 22% of revenue, which looks aggressive. Opex reached 31% in FY23-24 . At 22% Opex, Operating Profit would grow ~13% Cagr to FY29.
- Android growth looks low, Opex control demanding. As such, we could conclude that 10% Operating Profit Cagr is more likely than 13%. Even with lower growth, the stock is cheap.
Expedia Group Inc.: These Are The 7 Biggest Factors Impacting Its Performance In 2025 &Beyond! – Major Drivers
- During the third quarter of 2024, Expedia Group demonstrated several positive financial performance indicators and business dynamics, alongside addressing some challenges.
- Overall, the company exceeded expectations regarding gross bookings and earnings, although revenue met projections amidst challenges posed by weather and currency fluctuations.
- Noteworthy was the accelerated growth in gross bookings in its consumer segment for the second consecutive quarter, buoyed by strong performance from Brand Expedia, Vrbo’s return to growth, and favorable outcomes from international sales.
Dynatrace Inc.: How Strategic Investments Are Securing Its Competitive Edge & Future Revenues – Major Drivers
- Dynatrace reported a strong performance in its second quarter of fiscal 2025, showcasing solid financial results and effective execution of its strategic initiatives.
- The company posted an annual recurring revenue (ARR) increase of 19% year-over-year to $1.62 billion, propelled by robust expansion bookings, especially in Europe, and an improvement in booking seasonality related to a switch to 6-month sales compensation cycles.
- Subscription revenues grew by 20% year-over-year, further supporting the company’s financial momentum.
EPAM Systems Inc.: An Analysis Of Its Global Expansion & Diverse Delivery Locations & Other Major Drivers
- EPAM Systems, Inc., a global leader in software development and digital platform engineering services, reported its third-quarter 2024 results, which were stronger than analysts anticipated.
- The company demonstrated revenue growth on both a year-over-year and sequential basis, signaling potential stabilization in the market.
- This growth was primarily fueled by increased customer engagement across various verticals, notably in life sciences and healthcare, financial services, software, and biotech.
Insulet Corporation: Its Efforts Towards Continued Sensor Integration & Improvements & Other Major Drivers
- Insulet Corporation’s latest quarterly earnings call presents a mix of positive and cautious sentiment towards the company’s recent performance and future outlook.
- The company reported strong financial results with a significant revenue milestone, indicating healthy business momentum.
- Insulet’s total revenue growth for the third quarter was reported at 25%, driven primarily by a 26% increase in total Omnipod revenues.
Cloudflare Inc.: An Insight Into Its Product Diversification & Innovation & Other Major Drivers
- Cloudflare’s Q3 2024 financial results reflect a mixed performance characterized by areas of significant growth as well as certain challenges that require attention.
- During the quarter, Cloudflare achieved a revenue of $430.1 million, representing a 28% year-over-year increase.
- This was driven by strategic customer acquisition, notably the record addition of 219 large customers, many paying over $100,000 annually.
💡 Before it’s here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- ✓ Unlimited Research Summaries
- ✓ Personalised Alerts
- ✓ Custom Watchlists
- ✓ Company Data and News
- ✓ Events & Webinars
