We love investing. We talk about it constantly, spend our days, nights and weekends sifting through data, filings and analyst reports. Finally we thought, why not share our love with the world?
Join us on X/Twitter every Monday, Wednesday and Friday at 1:00pm EDT for Alpha with Artemis where we will drop all sorts of alpha from our AI analyst. Can’t make the recording? No worries, we’ll send out summaries each week and the charts that matter to make sure you stay up to date. With that, let’s see some highlights from episode #1 and episode #2.
Spark/Sky Near 1Yr Low Market Cap/Revenue
Andrew showed crypto protocols trading within 20% of their one-year market cap-to-revenue lows and highlighted SKY and Spark as an opportunity (Andrew owns SPK token). Both tokens were trading near 1yr lows of valuation, despite both of them increasing revenue Q/Q. Over the past 7 days, Spark rallied over 40% due to a resurgence of interest in crypto and is now up 1.7% YTD while other crypto lending protocols are still down between 20 - 60%.
SaaS is Bifurcating
There is an opportunity emerging of SaaS companies who have deep moats, network effects and can monetize AI. SaaS companies with “shallow” moats have seen revenue drop 50%+ Y/Y. However, others like Salesforce, Monday.com and Toast have seen continued revenue growth, despite having mixed stock performance. For example, Toast benefits from having a strong network effect of restaurants where its machine learning models can help all restaurants with pricing, reservations and takeout. Plus, people will (hopefully) keep eating out regardless of AGI. Toast revenue growth accelerated in the previous quarter from 22% → 23%.
Another example, Monday.com, is trading at ~$1.4B ARR/ ~$3.8B market cap (~2–3x ARR, ~20x earnings), and is repositioning as an AI-agent platform serving large enterprises. While net dollar retention is trending down, Jon’s take is the market is stuck on the “Kanban board / Jira competitor” framing from early 2026 and not what it could be.
Ultimate SaaS Thesis: (credited to Chris Zeoli, ex-Insight/SignalFire)
If inference costs fall sharply, labs lose pricing power and value accrues to the application layer whose COGS collapse — Cursor, Harvey, Sierra, Figma, Monday. This year’s “cooked” enterprise software names may be the net winners.
Episode #2
Hyperliquid + Lighter at Record Multiples
Both are at all-time-high prices and all-time-high multiples (40–42x annualized fees for Hyperliquid). Hyperliquid's monthly revenue actually halved from $84M to $40M into July before a recent daily spike ($5.3M/day). While the tokens are rallying because of a possible green light in the United States, regulated exchanges (CME, NYSE) trade at a far less multiple. Both protocols will need a presidential endorsement to hopefully grow TAM and a surge in equity trading, which could be fueled by a rumored Anthropic IPO in Q4.
Analyst Uncertainty Creates Alpha
One avenue we have been looking into for generating alpha is by tracking analyst uncertainty. The idea is if analysts are uncertain or have widely varying views of a stock, that could be an opportunity for large outperformance. The company with the largest difference in analyst estimates is Revolution Medicines, which is actually up 165% this year. Biotech (UTHR, MRNA, AXSM) and AI (LI, MBLY, SPCX) also have widely different views of how revenue will unfold for these companies.
Catch us next week for more insights!