Great businesses don't always get the credit they deserve In other words, Slack's upside scenarios are both more likely and more favorable than the downside scenarios are harmful (in mathematical terms, the expected fair value of Slack's stock is higher than the base-case estimate). This is certainly possible, but it is also possible or even likely to see the valuation upside if the base case scenario were to be realized, as WACC would presumably fall in line with the peer set as the business matures. We would need to see a much sharper weakness in TAM and/or margins to fall well below Slack's valuation recently. Theta has pioneered a powerful approach to customer lifetime value analysis that takes a deep, data-driven look at customer behavior, and it ran Slack's numbers through its model. I have highlighted the work of Theta Equity Partners before, and the research firm has already distinguished itself in regard to unicorn share offerings. Well, think again, for as one value investor quipped recently, "The three most dangerous words in investing are 'I missed it.'"Įven at their current price, there is evidence to suggest that Slack Technologies shares remain undervalued.
Many may be thinking that this pop has eliminated any opportunity for fundamental investors to pick up Slack at a reasonable price. Monday's $35.76 closing price is at a 38% premium to the stock's $26 per share reference price. Slack Technologies (NYSE: WORK) completed its direct public offering last Thursday, and unlike Lyft and Uber - which are now "busted" IPOs - shares of the seemingly ubiquitous workplace collaboration software provider have performed well.
Following Lyft, Pinterest, and Uber, another "unicorn" (a start-up with a private valuation above $1 billion) has been set free into the public markets.
0 kommentar(er)
