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Interesting valuation. 8x revenue is a success for SaaS companies. They were initially priced at $20/share, which would imply ~9.5x revenue. At $32/share they'
by mathattack 9y ago
Interesting valuation. 8x revenue is a success for SaaS companies. They were initially priced at $20/share, which would imply ~9.5x revenue. At $32/share they're at ~16x revenue. Very steep.
They also fail the VC "rule of 40" where SaaS companies should have growth plus margins equal to 40%. (50% growth and negative 10% margins, or 10% growth and 30% margins) They seem to be at 50% growth, but minus 40% margins.
Somehow they pulled it off. Great for them!
- dx034 9y agoFor non-tech people, MongoDB often represents areas such as "big data". I work with a lot of people that have very little tech knowledge and the name comes up frequently to demonstrate that you're hip. It's the same that being on AWS convinces investors because running your own servers is so yesterday. Only Hadoop probably has an even bigger name. That's what everyone connects with machine learning and AI, so every big company needs a Hadoop cluster.