Lots of super successful companies went public with <$150m of revenue

JaminBall
04-11

Median LTM revenue at IPO for software companies is ~$185m.

With median quarterly YoY growth rate >50%. Lots of super successful companies went public with <$150m of revenue ( $Shopify(SHOP)$ $HubSpot(HUBS)$ $Coupang, Inc.(CPNG)$ $Zendesk(ZEN)$ $MongoDB Inc.(MDB)$, etc). But you HAVE to be growing fast

ImageImage

And to be clear - my point isn’t to disagree with gokulr. I agree wholeheartedly. I just wanted to present the data

The bar has gone up, because the opportunity cost has gone up. 10 years ago there weren’t many software co’s you could own. Now, there’s many! And many who are showing profitability and growth!

Guidance raises have been tough to come by the last few quarters. We’ve started to level off at the median guide being in line with consensus estimates.

ImageImage

https://twitter.com/jaminball/status/1778082263236059292

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Report

Comment（2）

  • Top
  • Latest
  • Tracccy
    ·04-11
    Wow, so many successful companies went public with less than $150m in revenue!
    Reply
    Report
  • frosti
    ·04-11
    You did a great job presenting the data.
    Reply
    Report