Software Cos.lead 500 fastest Growers

The shift and disruption in IT technology is from hardware or appliance-based choices to cloud-based architecture. That’s where the growth is as amply demonstrated by Deloitte’s Technology Fast 500™. Yesterday Zscaler in their PR proudly announced that they are ranked 336 out of the 500 fastest growing technology, media, telecommunications, life sciences and energy tech companies in North America.

In case you are not familiar with Deloitte, this company has recognized fast growers for more than 20 years. According to their website, “The Fast 500 companies—large, small, public, and private— define the cutting edge; transform the way we do business; combine technological innovation, entrepreneurship, and rapid growth; and disrupt the technology industry. Winners are selected based on percentage fiscal year revenue growth over a three-year period. The ranking is compiled from applications submitted directly to the Technology Fast 500 website and public company database research conducted by Deloitte LLP,”…

Of the 500 FAST companies 69% are private, 31% public. For the top 20 fastest growing companies the numbers are similar, 70% (14) are private, 30% (6) are public. 80% of all companies received venture capital funding.

320 of the 500 or 64% were from the leading industry, Software. The latter increased 6% from last year.

117 companies had a growth rate of 1,000% or higher, with the 3-year growth rate extending from 143% to 77,260%.The latter amazing growth was produced by the privately held SW (logistics) company SwanLeap in Madison, WI, founded 2013, and ranked #1.

After moving back to the US I have been shocked how primitive our logistics system is (from Amazon to Costco to Home Depot). The delivery services dump your merchandise in front of your door often not even ringing the bell. My current neighbors had several packages stolen from their front door. It makes me hesitant to order stuff online. When feasible I now order the merchandise to be picked up at the nearest store.

I have been spoiled during my stay in Germany where you can track your order from the moment you place it. Merchandise usually arrives within 2 days and invariably within the 2 hour time frame they give you, regardless of the company or the logistics service used, i.e. DHL (acquired by Deutsche Post), DPD (Dynamic Parcel Distribution GmbH, KG, formerly and in Germany still referred to as Deutscher Paket Dienst), or UPS. You sign for EVERY delivery on a little hand-held computer that relays delivery and signature instantly to the company and its website. They never dump parcels in front of your door. Longtime delivery drivers who know the neighborhood often have a neighbor sign for and receive your parcel. Everything is automatically digitally recorded.

For working people, DHL allows you to mark your original order that you wish it to be delivered to one of their pickup stations where they have lockers accessible 24 hours a day. They notify you when the parcel has arrived and provide a code called mTAN which allows you to open the designated locker. As soon as you remove your parcel, the code expires. Our closest station was in a large Lidl shopping center. Very convenient. Internationally Germany has been ranked #1 in logistics for several years now, the US is now #14,

Sorry to rant on about one of my pet peeves. I hope some of the newer SW companies will revamp US logistics.

Since I dislike “dark” websites, seems to be the fad right now, I made tables that are easier to view (at least for me), looking at sectors, sub-sectors, and, naturally “our stocks” and some of those mentioned on this board.

**Winners by industry sector**	
Software	                          64%
Digital content/media /entertainment	  12%
Biotechnology/pharmaceutical	          11%
Medical devices	                           5%
Communications/networking	           3%
Electronic devices/hardware	           3%
Semiconductor	                           1%
Energy	                                   1%
**Software sub-sectors**
__SaaS	                                  **34%**__
Enterprise SW	                          17%
Fintech	                                   9%
Data analytics	                           7%
Security	                           7%
Cloud services	                           8%
Digital platforms	                   6%
Artificial intelligence	                   4%
Mobile	                                   4%
Consumer SW	                           2%
Internet of Things	                   1%
Social networking	                   1%
**3-yr median percentage growth rate by Sector**	
Energy tech	                         639%
Biotech/Pharmaceutical	                 411%
Electronic devices/hardware	         410%
Medical devices	                         396%
Communications/networking	         394%
Digital content/media/entertainment	 385%
**Semiconductor 	                         206%**

Ranking of Stocks discussed on this board

**Rank	Company Name/Symbol	      Primary Industry	         % Growth**
  1	SwanLeap  (private)	        Software - Logistics      77,260%
168	Trade Desk, Inc. - TTD	        Software	             592%
191	Nutanix, Inc.  NTNX	        Software	             503%
197	Pure Storage  - PSTG	        Electronic devices/HW	     486%
206	Hortonworks, Inc.	        Software	             469%
211	New Relic  - NEWR	        Software	             462%
248	LogMeIn	                        Software	             361%
250	Cloudera, Inc.	                Software	             354%
255	Twilio  - TWLO	                Software	             349%
317	Instructure, Inc.  -  INST      Software	             258%
332	Alteryx  -  AYX	                Software	             246%
336	Zscaler, Inc.  -  ZS	        Software	             242%
338	Zendesk, Inc.  -  ZEN	        Software	             239%
350	Facebook Inc  -  FB	        Software	             226%
354	HubSpot, Inc.  -  HUBS	        Software	             224%
371	Splunk  -  SPLK	                Software	             214%
401	Palo Alto Networks  - PANWR	Software	             194%
414	Paycom  -  PAYC	                Software	             187%
424	ServiceNow, Inc.  -  NOW	Software	             183%
427	Arista Networks, Inc.  -  ANET	Software	             182%
464	Pluralsight  -  PS	        Software	             161%
466	Square, Inc.  -  SQ	        Software	             160%
469	Veeva Systems, Inc.  -  VEEV	Software	             159%
473	Abiomed, Inc.  -  ABMD	        Medical devices	             158%
500	Netwrix Corporation (private)	Software	             143%

If and when some of those 69% privately held companies go public, they may be excellent candidates for those of us who like rapidly growing, innovative, young (and perhaps riskier) companies. See Deloitte’s website for the entire list. If you don’t like a black website, I recommend scrolling down to the end of the list of 500. Below it on the right you can download the PDF, much easier to read.

Happy hunting.



deja vu…


Can anyone else find the premium board for ZS on TMF? Seems like it has not been set up

Can anyone else find the premium board for ZS on TMF?

Here you go:…

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