WANdisco - Internet of things provides the ‘killer app’

WANdisco’s (WAND’s) capital markets day (CMD) underlined the success of its transition to a cloud-centric commit-to-consume (CtC) model and the potential of its offering for Internet of Things (IoT) use cases, which looks set to drive a significant inflection in growth. Management sees opportunities across multiple industries with a pipeline boosted by a number of factors, including product improvements, restructuring the sales and marketing teams, and ever improving reference ability with tier one customers and partners. We raise our FY22 bookings and ending remaining performance obligations estimate on the back of the recent $25m contract win. Until we gain more visibility on the rate of data consumption, we leave our revenue estimates unchanged, although further deal announcements could be a catalyst for upgrades.