Subsequent purchase & company presentation of $ADSK (-0,12 %).

Today I would like to use my latest buy to bring you a little closer to Autodesk. An exciting growth company that is currently available at a 20% discount.

What does Autodesk do?

Autodesk is a US software company. They write about themselves: "Autodesk is changing how the world is designed and made". Their software is used to design construction projects, production lines, products, etc., and optimize them for efficiency.

The whole thing is divided into three segments:

• AEC (Architecture, Engineering, Construction)
• Product Design & Manufacturing
• Media/Entertainment

Why might Autodesk be interesting?

With Autodesk solutions, you can play the progressive digitalization in a wide range of industries. Whether car manufacturers, construction projects, infrastructure - the spectrum of customers is broad.

While the AI hype has already hyped up some companies, Autodesk could be or become a second-tier winner.

According to the Gartner Hype Cycle (if not known, just google it), 3D technologies have slowly reached the so-called "Slope of Enlightenment", i.e. more and more practical use cases are materializing.

I don't like investing in hypes myself. I invest in (mega) trends - and this one falls squarely within my investment horizon.

What do the figures say?

Sales are growing steadily. In the last 5 years on average 15% p.a., currently at approx. 9%. This is probably due to the current macro situation. When interest rates fall, I see potential for acceleration again, as customers should then realize more projects - and benefit from Autodesk's products.

The gross margin is a strong 90% (usual for a software company). The operating margin is 20%. As you can see, a lot of money is being earned.

With almost 2-digit growth, even in difficult times, I see a good starting point for potentially achieving a return of >10% p.a.

What does the valuation say?

The share has fallen by around 20% in recent weeks. The P/E ratio is therefore approx. 8.3, the historical average is approx. 9.8. This may initially be high for some investors - but it is not unusual for such profitable growth stocks.

You have to be aware that you are buying absolute quality here, which is reflected in profitability + sales and profit stability. This always entails a premium.

Conclusion

In my view, the share is currently available at a good price. The fundamental figures look good. The share is benefiting from trends such as AI, digitalization, resource conservation and pressure to increase efficiency.

What are your thoughts on the share?