CrowdStrike Holdings, Informatica Inc., KnowBe4, ZoomInfo Technologies Inc., and Salesforce.Com Inc. are Wolfe Research’s top software picks for 2022.
“These names we think are poised a meaningful comeback and some of the largest upsides we have in our price targets are actually cybersecurity names,” Wolfe Research analyst Alex Zukin said in a CNBC interview this week. “All of our top picks have really strong cash flow multiples, free cash flow profiles. We think that’s such an important focus going forward because it’s not just about growth anymore.”
Salesforce is likely for a comeback in 2022 due to its leadership steam, its $27.7 billion acquisition of Slack, and its the renewed focus on margins.
He also expects the company to make its largest acquisition ever and purchase Okta Inc. for about $50 billion.
