Key Points New York City-based Insight Holdings Group sold nearly 4.5 million shares of nCino in the third quarter. The move marked an exit from nCino, leading the position to fall by an estimated $124.7 million from quarter to quarter. The position was previously 5.2% of the fund's AUM as of the prior quarter. These 10 stocks could mint the next wave of millionaires › On November 14, New York City-based Insight Holdings Group disclosed a full exit from nCino (NASDAQ:NCNO), selling nearly 4.5 mi ...

nCino (NCNO) closed the last trading session at $25.92, gaining 1.7% over the past four weeks, but there could be plenty of upside left in the stock if short-term price targets set by Wall Street analysts are any guide. The mean price target of $34.8 indicates a 34.3% upside potential.The mean estimate comprises 15 short-term price targets with a standard deviation of $4.02. While the lowest estimate of $27.00 indicates a 4.2% increase from the current price level, the most optimistic analyst expects the st ...

PresentationSaket KaliaBarclays Bank PLC, Research Division Excellent. Well, hey, good morning, everyone. Welcome to Day 1 of the Barclays TMT Conference. My name is Saket Kalia. I cover software here at Barclays. Really honored to have with us Greg Orenstein, Chief Financial Officer of nCino. We've got about 30 minutes together. Let me take the first 20 or 25 minutes to go through some fireside chat with Greg, which I know is going to be fun. A lot of stuff to talk about from last quarter. And then we'd l ...

nCino FY Conference Summary Company Overview - nCino is a leading platform in commercial lending in the U.S. and is expanding internationally, with a focus on various financial services including small business, consumer, and mortgage lending [3][6][7]. Key Points and Arguments Company Evolution and Market Focus - nCino has evolved from a commercial lending focus to a comprehensive platform serving various financial institution needs globally [6][7]. - The company has seen success in international markets, particularly in the UK and Japan, and is focused on expanding further into Europe [7][9]. Financial Performance - The third quarter results showed a 600 basis point increase in operating margin year-over-year, indicating strong execution and growth [13]. - Over 110 customers have adopted the Banking Advisor AI, showcasing traction in AI initiatives [13]. Market Environment - The financial institutions' balance sheets are generally healthy, leading to a positive spending environment post-liquidity crisis [16][17]. - AI is a significant catalyst for customer engagement and sales activity, contributing to a more normalized market environment [16][17]. U.S. Commercial Lending - There remains significant growth potential in U.S. commercial lending, even with existing customers, as there are opportunities for deeper product penetration [23][24]. - The platform's ability to scale and serve both small and large banks is a competitive advantage [6][24]. International Expansion - nCino's competitive landscape is favorable, with no direct competitors offering the same comprehensive solutions [28][29]. - The company is focusing on Spain and the Nordics for further expansion, with early successes noted [29][30]. Consumer Banking - Consumer banking is seen as a growth area, primarily through a "rip and replace" strategy, where existing systems are replaced with nCino's platform [39][40]. - The competitive landscape in consumer banking is evolving, with nCino's platform offering a unique value proposition [40][44]. Pricing Model Transition - nCino is transitioning to a platform-based pricing model, which is expected to align better with customer value and drive revenue growth [55][59]. - As of the end of Q3, approximately 27% of overall Annual Contract Value (ACV) was on the new pricing model, which is expected to accelerate renewals and new sales [59][63]. Mortgage Business - The mortgage segment has shown strong growth, with a 22% year-over-year increase in Q2 and over 20% in Q3, driven by market stabilization and increased loan volumes [74][78]. - The company anticipates continued growth in the mortgage sector as market conditions improve [78][82]. Capital Allocation Strategy - nCino has authorized a $100 million buyback, reflecting confidence in the business trajectory and a balanced approach to capital allocation [119][121]. - The focus remains on executing the current strategy while being open to future M&A opportunities if they align with business needs [121][126]. Margin Expansion - The company is targeting improvements in gross margins, particularly in professional services, through more efficient implementations and leveraging AI [109][110]. - The mix of professional services revenue is expected to trend down as the company focuses on its core product offerings [116][118]. Additional Important Insights - The transition to platform pricing is expected to enhance revenue recognition and cash flow visibility, aligning revenue with customer asset growth [100][106]. - nCino's strategy emphasizes execution and accountability across the organization, which is critical for maintaining growth momentum [22][39].

Question-and-Answer SessionSo maybe just to get us started, background on nCino. How do you serve financial institutions? What are the key value propositions of the nCino platform?Gregory D. OrensteinCFO & Treasurer We focus on 4 main things, right? Lending, any type of lending, whether it's commercial, consumer, small business or mortgage; account opening; onboarding of customers; and then portfolio monitoring. And we do that all on a platform, a single unique platform across the financial institution. Sa ...

Summary of nCino Conference Call Company Overview - **Company**: nCino - **Industry**: Application Software for Financial Institutions - **Key Customers**: Includes major banks like Bank of America and Wells Fargo, as well as international clients like Barclays and Macquarie [3][4] Core Value Propositions - nCino focuses on four main areas: lending (commercial, consumer, small business, mortgage), account opening, customer onboarding, and portfolio monitoring [3] - The platform serves a wide range of financial institutions, from community banks to large global banks [3] - Approximately 21% of subscription revenues were generated outside the U.S. last quarter [3] Financial Performance Highlights - The latest quarter showed a **600 basis points** year-over-year and quarter-over-quarter increase in operating margin [5] - U.S. mortgage business grew over **20%** for the second consecutive quarter, excluding tough comparisons from the previous year [5] - Organic subscription revenue growth in the U.S. accelerated by **200 basis points** to **9%** [5] AI Integration and Adoption - nCino has introduced over **110 Banking Advisor customers** in the AI segment, with significant momentum in AI adoption [5][6] - The company aims for all software to evolve into AI capabilities, enhancing decision-making for financial institutions [9] - AI features include Continuous Credit Monitoring and operational analytics dashboards to track efficiency gains [10][11] Sales and Market Strategy - New KPI introduced for **Annual Contract Value (ACV)** growth, targeting **80%-90%** growth [15] - The company is optimistic about Q4, historically its biggest bookings quarter, with a healthy customer base and improved sales activity [18] - Changes in the sales organization have focused on accountability and efficiency, with a shift from a one-product to a global enterprise sales model [21][22] Margin and Efficiency Improvements - A reduction in workforce was implemented to streamline operations, resulting in improved margins [27] - The company aims to achieve its **Rule of 40** target by focusing on subscription revenue growth [28] Growth Initiatives - nCino has identified five growth initiatives, with plans to add more in the future [28] - The mortgage segment, which constitutes about **15%** of revenue, is expected to contribute positively to growth despite previous market challenges [29] International Expansion - International growth was reported at **3%**, with expectations for accretive growth next year [40] - The company has made strategic acquisitions to enhance its international offerings and onboarding capabilities [41] Pricing Model Transition - Transitioning from a seat-based to an asset-based pricing model, with **27%** of customers already migrated [46] - This model aligns with customer growth and efficiency gains, providing a potential **10% uplift** in revenue [48] M&A Impact - nCino has been involved in **270 customer transactions** over the past decade, winning **95%** of those deals [49] - The new pricing model is expected to enhance revenue from M&A activities by recalculating assets post-merger [50] Underappreciated Aspects - The AI strategy is seen as a key differentiator, with nCino positioned to lead in AI banking solutions [58] - The rapid adoption of AI by customers is not fully recognized by investors, despite significant growth in customer engagement [59] Conclusion - nCino is well-positioned for future growth with a strong focus on AI, operational efficiency, and international expansion, while maintaining a robust customer base and innovative product offerings [58][59]

Key Points New York City-based Senvest Management increased its stake in nCino by nearly 2.4 million shares during the third quarter. The overall position value grew by $63.8 million from quarter to quarter. Following the transaction, Senvest reported holding over 2.4 million nCino shares valued at about $65.6 million. These 10 stocks could mint the next wave of millionaires › New York City-based Senvest Management disclosed a significant purchase of nCino (NASDAQ:NCNO) stock on November 14, addi ...

Core Insights - Tensile Capital Management reduced its stake in nCino by 449,165 shares, resulting in a decrease of $13.3 million in position value during the third quarter [2][3][7] - Following the sale, nCino now represents approximately 3.1% of Tensile Capital Management's reportable AUM, moving it outside the fund's top five holdings [4][7] - nCino's stock price has declined 37% over the past year, contrasting with a 13% increase in the S&P 500 during the same period [4] Company Overview - nCino has a market capitalization of $2.7 billion and generated revenue of $586.5 million over the trailing twelve months (TTM) [5] - The company reported a net income loss of $21.8 million for the TTM [5] - As of the latest market close, nCino's share price was $23.39 [5] Recent Performance - nCino achieved a 10% revenue growth to $152.2 million in the latest quarter, with an 11% increase in subscription revenue [12] - The company reported a GAAP operating income of $11.7 million, a significant improvement from a loss in the previous year [12] - Non-GAAP operating income rose 43% to $39.9 million, indicating effective cost management and improved unit economics [12] Strategic Positioning - nCino provides cloud-based software solutions aimed at digitizing and automating banking operations for financial institutions [9][10] - The company serves a diverse clientele, including global and regional banks, credit unions, and mortgage banks [10] - nCino's SaaS platform leverages advanced analytics and AI to enhance banking workflows and compliance processes, positioning it as a key technology partner for banks undergoing digital transformation [10] Market Context - The reduction in Tensile Capital Management's stake reflects a broader reassessment of high-growth fintech companies amid fluctuating share performance and strengthening fundamentals [11] - Despite nCino's strong operational performance, the stock has faced significant declines, raising questions about the sustainability of its profitability and AI advancements in the face of near-term multiple compression [12]

The stock market in 2025 has been clearly divided into a concentrated camp of large-cap growth winners, and all the rest of the small and mid-cap value stocks that have seen sharpWith combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the industry today. He has been a regular contributor on Seeking Alpha since 2017. He has been quoted in ...

The stock market in 2025 has been clearly divided into a concentrated camp of large-cap growth winners and all the rest of the small and mid-cap value stocks that have seenWith combined experience of covering technology companies on Wall Street and working in Silicon Valley, and serving as an outside adviser to several seed-round startups, Gary Alexander has exposure to many of the themes shaping the industry today. He has been a regular contributor on Seeking Alpha since 2017. He has been quoted in many we ...