Palantir Is Challenging The Enterprise Software And IT Services Industries

Core Viewpoint - The article emphasizes the importance of generating alpha through independent investment strategies, focusing on a generalist approach across various sectors with potential for outperforming the S&P 500 [1] Group 1: Investment Strategy - The company manages a family portfolio primarily through a Self Managed Super Fund, aiming for a holding period that ranges from a few quarters to multiple years [1] - The investment approach includes building and maintaining spreadsheets that track historical financial data, key metrics, guidance trends, and performance indicators [1] - The company prefers assessing past performance and broad outlooks on key drivers of valuation rather than projecting long-term financials through DCF models [1] Group 2: Research Methodology - The research process involves monitoring industry news, reports, and other analysts' coverage, particularly during significant events like CEO changes [1] - The company conducts reverse DCF analyses for firms trading at high multiples to understand implied growth rates [1] - Key drivers of DCF valuation considered include revenues, costs and margins, cash flow conversion, capital expenditures, and interest rates [1]