Amadeus $AMS is down roughly 25% because the market lumped it in with the SaaS names AI is supposed to gut. Team Amadeus, Pershing Square Challenge finalists, argue it's the opposite: a deterministic, mission-critical monopoly that AI makes more valuable, not less. We dig into the 50-year-old systems that planes literally can't take off without, why the GDS is the wrong job for an LLM, the Sabre and Constellation Software angle, and what the stock is actually worth.
Full pitch deck (~75 pages): https://www.dropbox.com/scl/fi/5bwef8mz2kplx2sub598w/PSC_AMS_LONG_vSent.pdf?rlkey=x5g0v7t1qk8hpg00ewix95hn3&st=rq9nzl4h&dl=0
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Chapters:
00:00 Why Amadeus landed on my radar
01:00 Sponsor: Trata
02:39 Meet Team Amadeus (Pershing Square Challenge finalists)
05:20 What Amadeus actually does: the toll booth on global travel
09:07 The AI fear that broke the stock
11:13 Is it actually cheap? Valuation and stock comp
15:26 Why Amadeus tops the AI-risk matrix
16:32 Air IT Solutions: the SAP of airlines
22:59 The Microsoft AI director who bet against AI eating this
24:15 Tech-debt pushback and the JFK field trip
29:09 Sabre, Constellation Software, and the monopoly complaint
33:16 How Amadeus won share during COVID
34:21 The air-distribution network effect
35:22 Why LLMs are the wrong tool for the GDS
39:50 The $1B biometrics acquisition
43:03 Google, Gemini, and the uptime math
45:47 Fair value and the bull case nobody's pricing
49:01 Amadeus as an AI beneficiary
51:02 Closing thoughts
Links:
Yet Another Value Blog - https://www.yetanothervalueblog.com
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Production and editing by The Podcast Consultant - https://thepodcastconsultant.com/
