ASX:DUG
DUG Technology Ltd
Investment Summary
The fund managers believe that DUG Technology Ltd represents a strong investment opportunity, emphasizing its position as **Australia’s best high-performance computing (HPC) player**. They note that **compute power is one of the most in-demand resources globally**, projecting significant sector growth in the next decade. In their opinion, DUG’s differentiation lies in its **sophisticated software overlays**, enabling advances in seismic imaging, genomic data analysis, and satellite data collection. While acknowledging DUG's current valuation as primarily an **oil and gas service provider**, the fund managers see **immense future opportunities**, particularly with projects like the **Square Kilometre Array Telescope**, which alone will require more than **3x DUG’s current global HPC capacity**. They maintain a positive outlook on DUG’s growth potential amid the evolving tech landscape.
Commentary From The Managers
Cerutty Macro Fund
31 Aug 2023
$1.80
- DUG Technology is viewed by Cerutty Macro Fund as Australia's premier high-performance computing (HPC) player.
- The company has assets in Western Australia, Houston, London, and Kuala Lumpur.
- Compute power is seen as a highly desired resource globally, with expectations for extreme sector growth over the next decade.
- DUG differentiates itself by providing sophisticated software overlays for various industries.
- The fund believes that DUG is currently undervalued, attributed merely as an oil and gas service provider.
- Significant opportunities exist, notably with the Square Kilometre Array Telescope requiring more than 3x DUG’s current HPC capacity.
Please note: The completeness, accuracy or current status of the investments referenced are not guaranteed.