Big Data, Analytics and IPOs…What’s it all Mean? – Big Data Dish

Splunk made its public market debut nearly 2 weeks ago and has been on fire since. The stock closed April 19th with an increase of over 109% from the IPO price, extremely impressive for an initial public offering and one of the best opening day performances of 2012. Originally, Splunk’s seven underwriters set a range of $8-10 for each share, but then ended up pricing at a whopping $17 each. In the aftermarket, the stock nearly doubled again and continues it strong momentum closing yesterday at $35.51 per share for an approx $3.3 billion market cap – nearly 27 times revenue! Is there something behind all this hype? We think so. Splunk takes machine data and transforms it into real operational intelligence for the enterprise. You can take all of your logs and other machine data, feed it into Splunk and instantaneously create actionable intelligence. By monitoring and analyzing this data, Splunk gives you a transparent view of your enterprise and literally any company with large amounts of data is a potential customer.

No doubt the Splunk IPO success will reverberate throughout the Big Data market. We’re already seeing an increased pace of deal activity. We noted in our The Big Data Dish that 6 M&A deals and 8 financings occurred in the Big Data space in just the last couple of weeks alone – and we expect to see more! We see the majority of investments being made around tools that allow customers to analyze massive quantities of data more efficiently so that companies can make quick, tactical decisions that boost profitability. With the IPO markets opening and the heavy investment in early stage technologies, no doubt Big Data deals will continue apace. For more information on Big Data Deals and Financings, check out the Clearsight Big Data Dish below.

The Big Data Dish