ITPM Flash Ep87 RIP SAAS?

ITPM Podcast

ITPM Flash provides insight into what professional traders are thinking about in the markets RIGHT NOW! In this episode, Edward Shek dives into the cracks forming in the SaaS business model and what it could mean for major players like Salesforce (CRM). From commoditization of code and AI-driven efficiency pressures to the dominance of hyperscalers swallowing entire markets, the moat around many software companies is vanishing fast. We look at examples like GoDaddy, Wix, and Duolingo to show how pricing power is collapsing, before turning to Salesforce itself—where slowing growth, high CapEx, and a reliance on efficiency gains raise big questions about valuation. With the market crowded on the long side, we explore a November put spread structure that targets a 20% de-rating and a potential 450% return if the bear case plays out.