After four years as a runner-up, San Francisco–based Brent Thill rises to third place. The UBS researcher covers 20 stocks and expects to add to that number by year-end. “We recently upgraded our view on the software industry to attractive, based on improving deal flow and a strong seasonal second half,” he reports. “We expect pure-play vendors exposed to the cloud, security and big data to be the key themes to invest behind.” Thill reiterated his buy rating on Microsoft Corp. in January, at $26.15, predicting that the Redmond, Washington–based software behemoth would reorganize and that CEO Steven Ballmer would announce his succession plans this year. Sure enough, Microsoft announced in July that it was launching a realignment scheme to replace its divisional configuration with a functional structure. And in August the company reported Ballmer would retire within 12 months and that a process to select his successor was already under way. By the end of that month, the stock had jumped 27.7 percent since Thill’s January restatement, to $33.40, besting the sector by 15.4 percentage points. “Brent has the deepest knowledge of software’s inner workings and great relationships in the Valley,” cheers one backer. — Pam Baker |
San Francisco Steven Ballmer UBS Microsoft Corp. Brent Thill
