Using a EV-EBITDA approach to valued Alcidion is difficult now because it relies on many assumptions, including operational efficiencies and how it is to be implemented etc.
Hence, maybe still more appropriate to use the EV-Revenue multiple valuation approach. It has its limitation but is still able to give a rough guide in terms of current valuation.
Below is some rough calculations showing the implied share price if different multiples are used, and assuming a 10% growth in the minimum FY24 revenue
Pretty obvious that we are undervalued based on current numbers
BUT sentiments are at all time low, so investor psychology is playing a big part
