A day or so ago I put together a list of most of the stocks I am interested in based on how each had performed in the end-of-the-week rally. I had three questions on my mind:
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Were the stocks that outperformed the average rally percentages indicative of of better market expectations and sentiment - and if so were they perhaps the best investments going forward.
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Were the stocks that outperformed late last week better candidates for the use of TBs.
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Regardless of the outcome was going through the process a good idea to keep on top of things…you know…just keeping an eye on the neighborhood?
Maybe - Maybe Not. Regardless…I needed more comparative data without somehow expending copious amounts of time researching and putting together the numbers. After all, I am hardly the first person to ever think this scenario up and so the ultimate answer to either question was likely to be… a rather pedestrian, if not a full Boom Box…NAH! So turned to a source that had multiple tables of data already available: Bessemer Venture Partners.
Bessemer Venture Partners has been following a collection of Cloud-Based companies for quite a few years with not just market beating performance - but with absolute market domination and success. You can look it up for yourself:
https://www.google.com/url?sa=t&rct=j&q=&esrc=s&…
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A) Is there correlation to Rally results based on Revenue Growth
Note: Performance Rally Data from Seeking Alpha Updated.
Here are the Top 25 Bessemer Cloud Index companies by Market Cap with Last Week’s Rally Performance:
1.) Adobe: Market Cap $202.33B…with…Last Weeks Rally Performance +6.26%
2.) Salesforce: $164.1B +4.90%
3.) PayPal: $98.7B +6.71%
4.) ServiceNow: $95.5B +11.56%
5.) Square: $52.55B +12.06%
6.) TEAM: $46.98B +7.11%
7.) SHOP: $46.5B +6.43%
8.) SNOW: $40.87 -5.20%. (ER Related)
9.) Workday: $40.33 -1.11% (ER Related)
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CRWD: $38.7B +16.15%
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ZOOM: $32.95 +18.92% (ER Related)
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DDOG: $30.90B +10.88%
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VEEV: $26.62B +8.42%
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Zscaler: $22.60B +22.66
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Twilio: $19.70B +15.53
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NET: $19.22B +11.03%
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DOCU: $17.24B +15.96%
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PAYC: $17.08B +10.54%
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HUBS: $16.83B +12.38%
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ZI: $16.57B +15.20%
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OKTA: $13.57B +9.23%
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BILL: $13.06B +18.94%
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Zendesk: $12.13B +4.46%
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PLAN: $9.89% +1.36%
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Paylocity: $9.84% +11.47%
Once you dig a little deeper into the minutia there may be a golden pony in there somewhere. We’ll see I suppose.
More than discovering any actual Best Investment Road Signs (BIRS) in a day or two of data it is more likely to perhaps reveal spring loaded high sentiment stocks that can be parlayed into profitable TB companies. Still…something of a reach and outside of STARTERS definitely a more risky expedition.
All the Best,