The Altium Limited (ASX: ALU) share price was out of form on Monday following the release of its half year results.
The electronic design software provider's shares fell 5% to $29.19 after it posted a 3% decline in revenue to US$89.6 million.
The Altium share price has continued its slide today and is down 0.7% to $28.99 at the time of writing.
Three things you might have missed from Altium's result
While the headline numbers were there for all to see, there were a few items in its result that might have slipped under investors' radars.
The first thing you might have missed was the meteoric growth of its Altium 365 platform. It reported over 9,300 active monthly users and 4,400 monthly active accounts. This is up 83% and 69%, respectively, since July.
This cloud-based platform is seen as the future of the company and the changes it has forced have been referred to by management as its Netflix Moment.
Altium's CEO, Aram Mirkazemi, commented: "Altium 365 is key to our future success through indirect monetization from our CAD software tools and, in time, direct monetization from the broader ecosystem. I am most heartened by the strong adoption of Altium 365 and, with our Netflix organizational changes behind us, I am confident of a much stronger second half."
The second thing you might have missed
Another thing you may have missed from Altium's half year result is its growing customer base of high profile companies.
The company counts the likes of Amazon, Apple, Boeing, CSIRO, Disney, Ford, Google, Mercedes-Benz, Microsoft, NASA, ResMed Inc (ASX: RMD), SpaceX, and Tesla as customers.
In respect to the latter, the electric vehicle giant is currently advertising for a printed circuit board layout designer and has a preference for someone with "extensive experience with Altium net classes" and "familiarity with Altium Designer PCB layout tools and schematic capture."
The fact that one of the world's most innovative companies uses its software appears to demonstrate just how highly regarded its platform is.
A third thing you might have missed
A third and final thing you might have missed was its enormous total addressable market (TAM).
In FY 2021, the company is expecting to deliver revenue of US$190 million to US$195 million. However, this is nothing compared to its TAM, which has expanded following the release of Altium 365.
At present, the company estimates that the printed circuit board electronic design software market is worth US$1 billion and growing. This gives it a long runway for growth over the next decade.
And with the total global electronic manufacturing and supply chain estimated to be worth over US$2 trillion, there's also a huge opportunity for its Octopart electronic parts search engine.
Is the Altium share price in the buy zone?
According to a note out of UBS, the Altium share price could be in the buy zone now.
In response to its half year results, its analysts have upgraded its shares to a buy rating with a $34.00 price target.
