EXCLUSIVE: How to Identify Companies Positioning for Hypergrowth

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Zinger Key Points
  • Technologist "muji" says many of hypergrowth trends are underpinned by the migration to the cloud,
  • The industries to watch are: Next-gen Network Security, DevOps Tooling, Data & Analytics and Edget Networks.
  • Get New Picks of the Market's Top Stocks

A technologist who says he loves to think about the future and how it can benefit humanity has a strategy for identifying the companies that will see massive growth in the coming years.

What Happened: A software developer and investor who goes by the name Muji was among the presenters at the 2022 Fintwit Conference. The conference was hosted by Benzinga and Lupton Capital at the ARIA Resort & Casino in Las Vegas.

He shared his method of analyzing the potential for company growth in a presentation titled "Future-Forward Technology Trends."

Muji said when it comes to finding companies with the potential for hypergrowth, "it's all about scale." He looks for those that can scale their revenue, customers profits and ultimately have the ability to leverage their platform.

The founder of hhhypergrowth.com said the key steps to scaling a company today include developing cloud-native software and becoming a building block for other companies. He also wants to see "customers flocking" to the solutions being offered by the company.

Muji says a company's products need to be "sticky" and vital to the operations of its customers, and for ecosystems to develop around a company's platform.

He also discussed the larger technological trends that are likely to see extraordinary growth in the coming years, and listed the ones he's closely tracking:

  • App Economy (web and mobile apps)
  • API Economy (interconnectedness of svcs/data)
  • Ever-growing data
  • Disruption from AI & Machine Learning
  • Migration of cloud, hybrid, multi-cloud
  • No more network perimeters (distributed workforce, distributed apps)
  • Next-gen of the cloud (cross-cloud services, edge networks)

Major Growth Ahead: Muji pointed out that many of these trends are underpinned by the migration to the cloud, a process that has just begun. He presented data from Benedict Evans showing that only 10%-15% of enterprise IT spending has migrated to the cloud, and just 20%-30% of workflows are now on the cloud. He expects those numbers to grow substantially.

Also Read: EXCLUSIVE: MooMoo, Benzinga, Cobra Trading Execs On Creating The Best Platform For Traders

The software developer presented data from company CIOs which showed the top three priorities for spending in a worsening economic environment are security software, cloud computing and digital transformation.

With that in mind, muji said the data leads him to focus on four key industries for hypergrowth: Next-gen Network Security, DevOps Tooling, Data & Analytics and Edge Networks.

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