Splunk Inc. (SPLK) - NASDAQ
  • Jan. 23, 2014, 11:56 AM
    • Splunk's (SPLK -1%) offering price is less than 1% below where shares traded on Tuesday, when the offering was first announced. The company stands to reap gross proceeds of $486M. (PR)
    • Shares are ticking lower amid a general market selloff. New Deutsche analyst Karl Keirstead has started coverage with a Buy and $81 PT:
    • Keirstead declares Splunk "has no close competitor" in the machine data analytics market, and says checks suggest only 5%-10% of "useful" log files are currently indexed/analyzed, leaving plenty of room for long-term growth.
    | Jan. 23, 2014, 11:56 AM
  • Jan. 21, 2014, 5:13 PM
    • At current levels, Splunk's (SPLK) offering would yield gross proceeds of $485M. Underwriters have a 900K-share overallotment option. (PR)
    • The machine data software leader only says it will use the proceeds for "working capital or other general corporate purposes," or potential acquisitions. Splunk already had $351.9M in cash/equivalents at the end of October, and no debt.
    • The offering stands to increase Splunk's diluted share count by ~6%, and comes comes with shares having rocketed to new highs on the back of good earnings news, positive analyst commentary, and general investor enthusiasm for all things big data-related.
    | Jan. 21, 2014, 5:13 PM
  • Jan. 16, 2014, 3:55 PM
    • Cantor's Brian White, who two weeks ago called Splunk (SPLK +4.5%) a top 2014 pick, has raised his PT for the machine data analytics leader to $90 from $77.
    • White: "We believe 2014 could be a breakout year for Splunk given the company's move from a single product company to a multi-product company, larger deal sizes, new opportunities in non-traditional markets, and the continued secular trend toward Big Data."
    • UBS upgraded Splunk to Buy last week, and Barclays (citing a steep valuation) cut shares to Equal Weight three days later.
    | Jan. 16, 2014, 3:55 PM
  • Jan. 10, 2014, 9:44 AM
    • Microsoft (MSFT +1.2%) has been upgraded to Overweight by Jefferies. The upgrade follows a moderate drop caused by disappointment Alan Mulally is no longer a CEO candidate.
    • BlackBerry (BBRY +1.1%) has been upgraded to Sector Perform by RBC. Shares have already seen a big run-up since the company's FQ3 report.
    • Baidu (BIDU +1.3%) has been upgraded to Buy by Maxim.
    • Micron (MU +0.2%) has been upgraded to Buy by Jefferson Research, and started at Buy by Argus and Sterne Agee. The moves come two days after shares blasted off in response to a very strong FQ1 report (I, II).
    • Splunk (SPLK -2.1%) has been cut to Equal Weight by Barclays. The downgrade shortly follows a UBS upgrade to Buy. SA Pro contributor ZNCapital recently took aim at Splunk's valuation.
    • Ambarella (AMBA -1.8%) has been cut to Hold by Deutsche. Needham cut the chipmaker to Hold two days ago.
    • Marvell (MRVL +1.9%) has been started at Buy by MKM.
    • Qlik (QLIK +2.1%) has been upgraded to Buy by Jefferies.
    | Jan. 10, 2014, 9:44 AM
  • Jan. 7, 2014, 1:54 PM
    • UBS, which had kept a Neutral rating on Splunk (SPLK +5%) for a long time due to valuation concerns, has upgraded shares to Buy. The machine data analytics leader has made fresh highs in response.
    • Curiously, UBS says it's upgrading Splunk precisely because the company's multiples have expanded (its EV/sales ratio now stands at a steep 20), defying expectations that they wouldn't, and because the firm now expects Splunk to maintain a similar valuation in 2014.
    • Like other firms, UBS touts Splunk's big data credentials, and forecasts strong margin expansion going forward.
    • Previous: Cantor calls Splunk a top 2014 pick
    | Jan. 7, 2014, 1:54 PM | 2 Comments
  • Jan. 2, 2014, 11:26 AM
    • Cantor's Brian White, who once placed an $1,111 PT on Apple (AAPL -1.2%) and has provided volumes of bullish commentary on the company over the years, has named it his top 2014 large-cap pick.
    • White declares Apple's valuation (just 9x his calendar 2014 EPS estimate exc. cash) "remains depressed," and predicts "new product innovations" will help it return to growth after posting its first EPS declines in a decade. He also expects Apple, which opposes Carl Icahn's buyback proposal but says it's still weighing cash-return options, to return more cash to shareholders in 2014.
    • White has respectively named machine data analytics software vendor Splunk (SPLK +4.7%) and analytics/data visualization software firm Tableau (DATA) his top IT software and emerging tech picks. Both fast-growing/richly-valued names are expected to benefit from big data-related momentum.
    • Juniper (JNPR +0.2%) is named White's top contrarian pick. He likes the networking/security hardware vendor's valuation (11.3x his 2014 EPS estimate exc. cash), improving cost structure, and new product launches, and the potential for "shareholder-enhancing activities." Juniper doesn't currently pay a dividend, and has nearly $3B in net cash/investments to finance new buybacks.
    • Previous: Wells Fargo downgrades Apple, cites margin concerns
    | Jan. 2, 2014, 11:26 AM | 8 Comments
  • Dec. 10, 2013, 2:27 PM
    • Splunk (SPLK -1.2%) has acquired Cloudmeter, a developer of products that allow large volumes of data about corporate/data center network activity to be captured. Terms are undisclosed. (PR)
    • Splunk plans to integrate Cloudmeter's technology with its machine data analysis software, and notes the former should strengthen the latter's value in IT operational intelligence/troubleshooting deployments (one of its core use cases).
    • The purchase comes three months after Splunk bought BugSense, a startup that offered tools for analyzing the machine data produced by mobile apps.
    | Dec. 10, 2013, 2:27 PM
  • Nov. 22, 2013, 12:57 PM
    | Nov. 22, 2013, 12:57 PM
  • Nov. 22, 2013, 12:35 PM
    • Analyst PTs are rising after Splunk (SPLK +19.3%) beat FQ3 estimates and issued decent FQ4 guidance. The sell-side is particularly enthusiastic about the growing number of applications for Splunk's machine data analytics software.
    • FBR: "Splunk is clearly in the right place at the right time ... we believe the company is well positioned to capitalize on its broad set of use cases (e.g. IT operations, applications management, security, etc.) and expanded product offerings."
    • FBN calls Splunk "the quintessential Big Data stock," and likes the fact both revenue growth (+51% Y/Y) and billings growth (+58%) accelerated from FQ2 levels. Pac Crest says its checks indicate Splunk has a number of $1M+ deals in the pipeline, and Webush notes license growth was 47% even as a record portion of bookings (1/3) were recognized ratably rather than up-front.
    • On the CC (transcript), Splunk mentioned it closed 207 $100K+ deals in FQ3, up from 163 in FQ2, and that its Splunk Storm cloud analytics platform has added 1K+ projects since being made largely free to developers in October.
    • Management also talked up the potential for Splunk to be used by many non-IT personnel in 2014 thanks to the launch of Splunk Enterprise 6 (has a simpler UI meant to enable non-IT use), and insisted Amazon's new Kinesis service (enables the real-time processing of large data streams) is an opportunity rather than a threat, since it "gives more companies exposure to their [data] logs," which Splunk can analyze.
    • Shares now trade at a steep 26x estimated FY14 (ends Jan. '14) sales, per Splunk's revised guidance.
    | Nov. 22, 2013, 12:35 PM
  • Nov. 21, 2013, 5:46 PM
    • After-hours Top Gainers, as of 5:15 p.m.: POZN +12.1%. SPLK +8.2%. ARUN +7.4%. ANR +6.1%. MRVL +4.1%.
    • After-hours Top Losers, as of 5.15 p.m.: VMEM -28.3%. TFM -14.5%. TXTR -9.2%. NAT -9.0%. ROST -7.7%.
    | Nov. 21, 2013, 5:46 PM | 1 Comment
  • Nov. 21, 2013, 4:46 PM
    • Splunk (SPLK) expects FQ4 revenue of $88M-$90M, above an $86.1M consensus. The company's op. margin is expected to be in a range of 6%-8%. 450+ customers were added in FQ3, up from 400+ in FQ2. Shares +9.3% AH. (FQ3 results, PR)
    • Autodesk (ADSK) expects FQ4 revenue of $560M-$580M and EPS of $0.29-$0.36 vs. a consensus of $574.8M and $0.35. The CAD software giant sees its transition to cloud/subscription-based business model affecting FQ4 revenue by $50M. Deferred revenue rose 7% Y/Y to $766M. Shares +2.8% AH. (FQ3 results, PR)
    • Mentor Graphics (MENT) expects FQ4 revenue of $400M and EPS of $0.90, below a consensus of $417.7M and $1.04. Shares -3.1% AH. (FQ3 results, PR)
    | Nov. 21, 2013, 4:46 PM
  • Nov. 21, 2013, 4:17 PM
    • Splunk (SPLK): FQ3 EPS of $0.00 beats by $0.01.
    • Revenue of $78.6M (+51% Y/Y) beats by $7.5M. Shares +8.18% . (PR)
    | Nov. 21, 2013, 4:17 PM | 2 Comments
  • Nov. 21, 2013, 12:10 AM
  • Nov. 20, 2013, 5:35 PM
  • Nov. 7, 2013, 1:24 PM
    • Erik Swan, Splunk's (SPLK -2.3%) CTO and a co-founder of the machine data software vendor, is resigning from his position, but will remain with the company as a senior adviser. He'll be replaced by Todd Papioannou, who in the past has served as Yahoo's chief cloud architect and the CEO of big data app platform developer Continuuity.
    • Papioannou takes over as CTO at a time when Splunk has been busy expanding its cloud offerings, and has been working hard to lower its depending on its core IT operational intelligence market, by targeting opportunities such as mobile and security analytics.
    • Splunk recently launched an enterprise-class cloud machine data analytics platform, while simultaneously turning its older Splunk Storm cloud platform (previously SMB-focused) into a largely free, developer-focused product. The company has also upgraded its traditional (on-premise) Splunk Enterprise platform to feature a more intuitive UI and new analytics tools the company asserts can be easily used by non-IT personnel.
    • FQ3 results arrive on Nov. 21.
    | Nov. 7, 2013, 1:24 PM
  • Oct. 25, 2013, 2:40 PM
    • Big data/analytics plays Teradata (TDC -2.7%), Tableau (DATA -0.8%), Splunk (SPLK -2.6%), and Tibco (TIBX -2.7%) are trading lower after Qlik (QLIK -18.4%) and Informatica (INFA -3.8%) posted Q3 results and Q4 guidance yesterday afternoon. While Qlik fell sharply immediately after releasing its numbers, Informatica opened higher before gradually selling off today.
    • Much like Tibco earlier in 2013, Qlik is blaming its weaker-than-expected top-line results and guidance on sales execution. The business intelligence/analytics software firm stated on its CC (transcript) its needs to adjust sales processes and "improve operational discipline."
    • Some analysts questioned Qlik about the performance of its European ops (responsible for half of revenue). While Americas sales rose 35% Y/Y in Q3, European sales only rose 13% (9% exc. forex). Qlik suggests its problems on the continent are due to both macro and sales execution.
    • Informatica's top-line guidance was strong, but its EPS guidance was more subdued due to the impact of major sales/R&D investments. Headcount rose by 98 people Q/Q and 364 Y/Y in Q3 to 3,178.
    • Informatica mentioned on its CC (transcript) it booked 23 $1M+ deals and 87 $300K+ deals in Q3, up from 13 and 75 a year ago. Subscription sales rose 48% Y/Y, and now make up 12% of software revenue.
    | Oct. 25, 2013, 2:40 PM
Company Description
Splunk, Inc. develops and markets software products. Its software collects and indexes data at massive scale, regardless of format or source and enables users to search, correlate, analyze, monitor and report on this data in real time. The company's machine data is generated by software... More
Sector: Technology
Industry: Application Software
Country: United States