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Tableau Software offers data visualization tools that utilize a more friendly drag-and-drop interface system. We are currently using this at my company and it is essentially a more user friendly/powerful version of excel. This software lets you spin millions of records of data compared to excel's 1.5m record limit. The adoption of this software at larger companies usually is driven by a group of new/younger employees and is slowly integrated and revealed to senior management - they tend to really like their old views and can have trouble accepting the new software/format. Product lines include Tableau desktop (for analysis), Tableau Server (for automatic refresh of data and to share across an entire company) and iPhone software to view on the go.

The business analyitics industry has been growing between 8-9% the past few years. Data analytics has been shifting from the report-based format to a more interactive drill down process to further glean insights from the data - the purpose of Tableau in a nutshell.

Revenue:

  • Revenue Growth YoY: 58% in 2015 and 27% in 2016.
  • License Revenue: Accounted for 58% of revenue in 2016 and has a gross margin of 99%.
  • Maintenance and Service Revenue: Accounted for 42% of revenue in 2016 and has a gross margin of 89%.

Operating Expenses

  • R&D spending as a percent of revenue has been steadily increasing the last four years. R&D as a % of Revenue was 27% in 2014, 31% in 2015 and 37% in 2017 and appears to be the main driver for the negative operating/profit margins.
  • All other operating expense are fairly constant

Profit Margins:

  • Company has posted negative operating and net margins in both 2015 and 2016.

Financial Liquidity and Solvency:

  • 2016 Current Ratio of 2.7
  • 2016 Financial Leverage = 1.63
  • No major debts or payables issues

Again, this is just my preliminary DD before I dig too deep. I believe the company does have marketable product that has the potential to revolutionize the way companies access and visualize data. I'm not sure of any major competition in that market right now. Revenue is growing steadily, gross margins are fat, and I would expect earnings to turn positive sometime in the future.

Can anyone provide additional insight into Tableau?



Submitted March 06, 2017 at 10:00PM by DaBears50 http://ift.tt/2lPWXcC

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