Laurence Dutton Thesis Thoughtworks (NASDAQ: TWKS ) has several key qualities that I consider essential for a successful IT Services growth stock, including a 20%+ revenue growth rate, high-quality relevant work, and delivery as evidenced by industry-leading revenue per employee and margins, a strong culture that attracts and retains top talent, and an experienced management team. The Digital Transformation Market is expected to grow at a double-digit rate through 2029, which I believe sets TWKS to benefit from the trend. I keep a Buy rating on the company’s stock with a price target of $16. Post Q4 2022 Earnings Outlook TWKS performed well in the fourth quarter, surpassing market estimates in terms of revenue and operating margins. However, the company provided cautious guidance for the first quarter and for 2023. Although I had expected a decline in TWKS’s 2023 CC organic growth based on the results of its peers, the growth guidance of 0-2% was lower than anticipated. I believe that this lower guidance reflects macro-related uncertainty, which could have a significant impact on TWKS’s consulting business. This may put pressure on the stock price in the near-term, however, TWKS is already trading at a considerable discount compared to […]
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
K&X Design and Investment Technology, LLC
Invest The Invisible Impact
