PUBLIC MARKETSEG Snapshot: 1Q21 SaaS Public Market UpdateThe 1Q21 median EV/Revenue multiple (14.2x) of the SEG SaaS Index increased an astonishing 56% YOY.
Download the SEG Snapshot: 1Q21 SaaS Public Market Update
SEG’s 1Q21 SaaS Public Market Update is a snapshot of how public companies are performing in our SEG SaaS Index. The Index is comprised of 98 publicly traded companies that primarily offer solutions via the cloud and may have a subscription or transaction-based pricing model.
- The median EV/TTM Revenue multiple is up an astounding 56% YOY, as public SaaS companies reached a record 14.2x in 1Q21.
- The SEG SaaS Index recently turned GAAP EBITDA positive for the first time since we began tracking our Index over a decade ago.
- Investors continue to prioritize TTM revenue growth over profitability as the median multiple for high growth SaaS companies increased nearly 100% YOY.
- The median TTM revenue growth rate of the SEG SaaS Index dipped to 21.2% in 1Q21 due to softening of new sales during a significant portion of 2020. However, growth has materially improved as Q1’s median quarterly revenue growth rate was 24.6%.
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SEG Snapshot: 2Q22 SaaS Public Market Update
July 11, 2022
Publicly-traded SaaS companies posted a median 7.1x EV/Revenue multiple, down 53% YOY from 2Q21’s 15.2x peak level of irrational exuberance in public equities. Yet, compared to the pre-pandemic average, public SaaS valuations are down a more modest 16%.Access report