Thanks for the fresh analysis, for starters đŞâit definitely brings a breath of fresh air here. Iâm not invested in Wolters, and I probably wonât be because I already have a lot of software stocks in my portfolio đŹ, but I donât think I need to say much more about the current valuation.
However, the market is currently somewhat underestimating Wolters Kluwerâs actual moat. The big concern is that if, for example, ChatGPT starts answering legal questions or calculating taxes, no one will need expensive specialized software anymore.â Of course, this risk existsâespecially when it comes to simple, basic knowledge, AI can replace quite a bit.
But WKL doesnât just sell informationâit sells, above all, trust, verified data, and deeply integrated software solutions. Especially in fields like law, taxes, or medicine, inaccuracies and errors pose a major risk. The quality of the database is crucial here.
Furthermore, WKL has long since ceased to be a traditional publisher; it is now a SaaS company with high switching costs. AI could therefore be less of a threat and more of an additional growth driver through new copilots and premium features.
For me, the question isnât whether AI is coming, but who has the best data and the most trustworthy infrastructure to benefit from it. And thatâs exactly where I see WKL continuing to be well-positioned.
However, the market is currently somewhat underestimating Wolters Kluwerâs actual moat. The big concern is that if, for example, ChatGPT starts answering legal questions or calculating taxes, no one will need expensive specialized software anymore.â Of course, this risk existsâespecially when it comes to simple, basic knowledge, AI can replace quite a bit.
But WKL doesnât just sell informationâit sells, above all, trust, verified data, and deeply integrated software solutions. Especially in fields like law, taxes, or medicine, inaccuracies and errors pose a major risk. The quality of the database is crucial here.
Furthermore, WKL has long since ceased to be a traditional publisher; it is now a SaaS company with high switching costs. AI could therefore be less of a threat and more of an additional growth driver through new copilots and premium features.
For me, the question isnât whether AI is coming, but who has the best data and the most trustworthy infrastructure to benefit from it. And thatâs exactly where I see WKL continuing to be well-positioned.
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@Aktienhauptmeister Do you see more potential in other software stocks, or why didn't you choose Wolter Kluwer specifically?
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@Aktienhauptmeister So, as a lawyer, I can tell you that in the legal field, LLMs actually tend to increase the need for legal advice, because now every run-of-the-mill legal department employeeâor, even better, other administrative staffâis going out and getting answers to their questions from ChatGPT and similar tools that are either completely or partially incorrect. In the legal field (including tax law), data isnât freely available. Court rulings are, but theyâre often cited incorrectly or fabricated out of thin air. Wolters Kluwer operates the second-largest legal database alongside Beckverlag. They also run a legal AI (Libra). While it isnât particularly good (yet), it does have the advantage of having access to the database.
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â˘@undraiser_scjjl You can't be in two places at once. Just because I haven't invested doesn't mean the company is bad. I'm only human, after all đ¤ˇđźââď¸đ
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â˘@jkb92 From a lawyer's perspective, it's obviously a little different đ but thanks for the clarification, and good luck with the investment đ
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