At Spaceship we’re long-term investors, but we still keep an eye on what’s happening in the markets day to day.
This week, we’re taking a look at some of the bigger movements in our Spaceship Voyager portfolios from the month of June 2024 (from 01-30 June 2024, these are not annualised figures).
Here’s the short version:
Moving up:
- Zip +28.07%
- Adobe +24.35%
- Autodesk +22.19%
- Cloudflare +21.82%
- Crowdstrike +21.61%
Moving down:
- Enphase Energy -22.39%
- Adore -17.67%
- First Solar -17.41%
- Megaport -17.26%
- Unity -11.40%
Moving up
Zip
Rose 28.07% (from 01-30 June 2024, these are not annualised figures).
Zip's an Australian company that's been around since 2013.
Its mission is to disrupt the broken credit card model by offering buy now, pay later payment solutions.
Why did Zip stock go up?
In a word: momentum.
Zip’s been having a good year. It released a quarterly update in April this year that reported strong US growth and the addition of some big name customers including Temu in Australia and New Zealand and JB Hi-Fi in Australia.
It will announce its next results on 23 July 2024.
Zip is in our Spaceship Universe and Spaceship Galaxy portfolios.
Adobe
Rose 24.35% (from 01-30 June 2024, these are not annualised figures)
Adobe's suite of products includes famous names such as Photoshop, Illustrator, and Adobe Acrobat.
Adobe helps its customers, that tend to be businesses, create and manage content, advertise and analyse their output.
Why did Adobe stock go up?
In a phrase: The element of surprise
Some investors had been concerned that Adobe’s products could be made irrelevant by AI. Adobe also went viral on Twitter when some of its customers became scared that a Terms and Conditions update would give Adobe free reign over their content, including that covered by NDAs. (Adobe later sent a clarifying tweet.)
Nonetheless, concerns were put to rest by Adobe’s second quarter results, which were better than the market had been expecting. Adobe reported a record revenue of more than $5.3 billion for just the second quarter of fiscal year 2024, which represented 10% year on year growth.
Adobe is in our Spaceship Universe, Spaceship Earth, Spaceship Origin, and Spaceship Galaxy portfolios.
Autodesk
Rose 22.19% (from 01-30 June 2024, these are not annualised figures)
Autodesk has been around since the early 1980s.
Its software helps architects, engineers, product designers and manufacturers design, model, and render their products.
Why did Autodesk stock go up?
In a phrase: generative AI
Autodesk delivered its first quarter fiscal 2025 results on 11 June 2024 which reported 12% revenue growth vs. the year before.
More broadly, Autodesk is aiming to be a market leader in 3D AI, and it told investors that it’s already ahead of its peers regarding the industry clouds, platforms, and business model evolution that it needs to achieve it.
Autodesk is in our Spaceship Earth portfolio.
Cloudflare
Rose 21.82% (from 01-30 June 2024, these are not annualised figures)
Cloudflare is a software company that has a network that can improve the security, performance, and reliability of internet connected devices.
Why did Cloudflare stock go up?
In a phrase: famous friends
Cloudflare and Crowdstrike announced an expansion of their existing partnership on 30 May. Both companies are big deals in the cloud and cyber security industries. Being able to leverage one another’s product suites lets them ‘Identify, investigate, and remediate threats faster’, in a sector where every moment matters.
The announcement adds to good momentum from Cloudflare that’s seen its stock price rise almost 30% over the past year, at the time of writing.
Cloudflare is in our Spaceship Universe, Spaceship Earth, and Spaceship Galaxy portfolios.
Crowdstrike
Rose 21.61% (from 01-30 June 2024, these are not annualised figures)
CrowdStrike is a cybersecurity company that helps its customers defend themselves against cyber threats, such as hacks and data breaches. CrowdStrike went public in 2019.
Why did Crowdstrike stock go up?
In a word: Consistency
Crowdstrike’s stock has been on a steady climb over the past year, and it gained more momentum on 4 July after the company released its first quarter fiscal year 2025 results.
Most significantly, its annual recurring revenue (ARR), which is a figure businesses use to track subscription income, rose by 33% year on year.
ARR is an important metric because it gives investors confidence in the future health of a business.
Crowdstrike is in our Spaceship Universe, Spaceship Earth, and Spaceship Galaxy portfolios.
Moving down
Enphase Energy
Fell 22.39% (from 01-30 June 2024, these are not annualised figures)
Enphase Energy was founded in 2006. It produces clean energy systems which utilise its microinverter solar tech to power homes around the world.
Why did Enphase Energy stock go down?
In a word: Europe
JP Morgan lowered its price target for Enphase Energy and noted that residential demand in Europe was ‘moribund’, power pricing was still low (meaning there’s less to be gained from switching to solar) and the political landscape was shaky (there are a few key elections happening in Europe at the moment). Increased interest rates are affecting installations that usually rely on financing. Moreover, a significant customer of Enphase's main competitor filed for bankruptcy, further impacting sentiment within the sector.
Enphase Energy is in our Spaceship Universe, Spaceship Earth, and Spaceship Galaxy Portfolios.
Adore Beauty
Fell 17.67% (from 01-30 June 2024, these are not annualised figures)
Adore Beauty is an online beauty store. It was founded by Australian entrepreneur Kate Morris in 1999, when she was aged 21 and hustling from her garage. It listed on the ASX in 2020.
Why did Adore Beauty stock go down?
In a phrase: Cost of living
Adore Beauty has had a rough few months. At the end of April, its CEO announced she’d be stepping down for personal reasons, remaining at the business until September. In the same update it forecast that challenging retail conditions and high cost of living pressures are having an impact on customers.
At the end of June, the company also announced it purchased Blue Mountains based wellness and skincare brand Ikou for $25 million, which utilised the majority of the company’s cash holdings.
It’s been bleak for other retailers in the landscape: Booktopia announced its entry to voluntary administration, as did fashion label Dion Lee.
Adore Beauty is in our Spaceship Universe and Spaceship Galaxy portfolios.
First Solar
Fell 17.41% (from 01-30 June 2024, these are not annualised figures)
First Solar is an American solar technology company that's fighting against climate change. It was founded in 1999.
Why did First Solar stock go down?
In a word: Politics
First Solar stock dropped almost 10% after former US President Trump was perceived to have outperformed current US President Biden in a nationally televised debate.
This is because First Solar is perceived to have benefited from many Biden initiatives including tax credits and tariffs. (In fact, First Solar was our top mover across our portfolios in May 2024 you can read more about First Solar in May’s Flight Log.)
If Trump gets up, some investors fear that green energy stocks will take a hit, as a result.
First Solar is in our Spaceship Earth Portfolio.
Megaport
Fell 17.26% (from 01-30 June 2024, these are not annualised figures)
Megaport was founded in Australia. It uses global reach, a Software Defined Network (SDN), and an online hub to help its customers connect to the cloud, make use of their data, and connect to other services.
Why did Megaport stock go down?
In a word: volatility
Megaport’s had some key personnel movement - its chair stepped down, and it had a CEO change in 2023.
Megaport was our top mover in January 2024, which we attributed to its unexpected customer and revenue growth. At the end of April it announced it was upgrading its earnings growth guidance, which means it’s expecting to make more money than it had first forecast, for FY24. Its stock price has improved over 50% since this time last year (at time of writing.)
Megaport is in our Spaceship Universe and Spaceship Galaxy portfolios.
Unity
Fell 11.40% (from 01-30 June 2024, these are not annualised figures)
Unity Software has a platform for creating real-time, 3D content. This content tends to be used in gaming, architecture and construction sectors.
Why did Unity stock go down?
Unity announced a restructuring strategy in Q1 that some analysts think will take time to come to fruition.
There are a few decisions they need to mitigate: back in 2022, they made a bet on a company they thought would help them reach a run rate of $1 billion by the end of this year: they’re on track for $425 million instead.
They brought in a new CEO, Matthew Bromberg, who came from gaming companies Zynga and Electronic Arts, to help.
Unity is in our Spaceship Universe and Spaceship Galaxy portfolios.
Keep in mind
Our investment philosophy at Spaceship is to invest “where the world is going.”
Essentially, we use our Where the World is Going methodology to identify what we think are forward-thinking companies that will benefit from future trends. If they meet the criteria in our methodology — that is, they have competitive advantages and future growth potential — we will then consider those companies for our Spaceship Universe Portfolio, Spaceship Galaxy Portfolio, and our Spaceship Earth Portfolio. (For the latter, the companies must meet other criteria.)
So while short-term movements are interesting, we remain focused on long-term trends. You can find out more about the long-term trends we’ve identified as Where the World is Going in our Spaceship Universe, Spaceship Earth and Spaceship Galaxy portfolios, and in the Spaceship app.
Some of our Spaceship Voyager portfolios invest in Zip, Adobe, Autodesk, Cloudflare, Crowdstrike, Enphase Energy, Adore, First Solar, Megaport, and Unity at the time of writing.
Important! We’re sharing with you our thoughts on the companies in which Spaceship Voyager invests for your informational purposes only. We think it’s important (and interesting!) to let you know what’s happening with Spaceship Voyager’s investments. However, we are not making recommendations to buy or sell holdings in a specific company. Past performance isn’t a reliable indicator or guarantee of future performance.
