TSP Weekly Tech Stock Update—Dec 16, 2023
This Week: AAPL/PANW/NOW new record highs, Alteryx buyout chatter, Meta's ad recovery, Nutanix eyes VMW business, a new ZScaler bull, SNOW's new product flow, MSFT 365 Copilot monetization and more.
Hello from Rob…
—Powered by an ongoing rebound in online advertising, shares of Meta (META, $334.92) in November hit a new 52-week high of $342.92, rebounding 289% from the November 2022 low of $88.09.
Meta’s advertising business has been in recovery mode all year, with growth steadily bouncing back from the Q4 2022 trough, when ad revenue fell 4.2% year over year. The rebound started to materialize in Q1 2023, with ad revenue advancing 4.1%. Momentum really picked up in Q2 (+11.9%) and then accelerated sharply in the September quarter (+23.5%). Demand has been strong across all major advertiser segments, led by online commerce and gaming.
Read more about Meta’s ad recovery and the institutional investors who were big buyers of the stock in Q2 & Q3 here.
*Inside This Issue: Our latest valuation analysis on Alteryx (AYX, $48.04—TSP Small-Cap Portfolio) after Reuters this week reported that a private-equity consortium is in advanced talks to take the data analytics software company private.
—Paid subscribers will receive the January 2024 PDF of Tech-Stock Prospector (TSP #263) via email on Tuesday, January 9.
—Paid subscribers have access to the TSP Market Overview and TSP Portfolio Updates sections inside this issue.