I am bearish. But in good spirit here is an answer to your...

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DrDante

564 Posts.

31/01/18

22:02

Post #: 30718642
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Originally posted by really stupid ↑

I've asked this twice, without getting a response - so I'm asking again: what stops clients using existing tech (eg. Bringg, Onfleet, Tookan etc) or new tech to compete with GSW in Australia and, particularly, o/s?

Good tech alone (and this looks like good tech to me) will not assure growth. Good tech that is hard to replicate or challenge will. For GSW to sustain a $500m market cap on negligible revenue, there has to be a reason that folks would use GSW and not one of the many other providers in the space. For now, I can see that they have a geographic moat in the small Australian market - ie. most of the other players in the space have not attacked here yet. But other than that, I'm struggling to see it.

Interested in others' informed views.

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I am bearish. But in good spirit here is an answer to your question. See pages 11-14. The report is so bullish and written by Aesir who were paid handsomely for the capital raising. Anyways trying to be ummmmmm Bipartisan

http://www.aesircapital.com.au/wp-content/uploads/2017/11/GSW-Note-2017.pdf

I'm not a tech guy but it seems competitors have similar technology so they are just providing a cheaper product. So your views seem right regarding limited moat.

Amazon the guys who built AWS, Google, Uber, Apple and other smarty pants surely can build a better product over time with their talent and financial backing so once again bye bye. Maybe a head knock on the AFL field led to Joel becoming a tech genius that Amazon other others can't compete with.

GSW Price at posting: $2.92 Sentiment: Sell Disclosure: Not Held
2 Upvote

0 Great analysis

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