Data from Oxford Economics projects that the USD will strengthen significantly against many currencies, including the Euro, Yen, Yuan, and others.
These large shifts have a significant impact on the data:
If a company reports in USD (e.g. Autodesk, Procore Technologies):
- Its 2022 growth will appear higher when viewed in EUR compared with the originally reported USD values.
- Its 2022 growth in Constant Currency will appear ‘a bit’ higher depending on what proportion of their sales are overseas.
For companies that report in EUR (e.g. Nemetschek Group, RIB Software) the effects are reversed.
In general, we advise viewing the market in growth in Constant Currency (CC) but in such extreme situations, a more nuanced view can be helpful by considering data in multiple currencies in tandem.
