Ann: Enterprise Sales & ACV Update, page-390

Cool - so all those stocks actually trade on higher consensus FY21 P/Rev (ACV, ARR, RR, etc) i.e. greater than 40x. Note I hold a few so trending lightly.

The last close at an implied forward ACV of $8.5m AUD ACV at 30 June 2021 is 43x P/ACV.

If you do a rough bottom-up, you can see why it's run (note it's a monthly model & I've hidden cells to show FY21 full year so the comments may not make sense):



Assumptions:
- PG&E commencement: Dec-2020, USD$1m initial contract
- Major Baseball League commencement: Mar-2021 USD$0.33m initial contract
- Florida Light & Power commencement: Dec-2020 USD$0.49m initial contract
- California statewide DaaS commencement: Dec-2020 USD$0.39m initial contract
- Boeing commencement: Mar-2021 USD$0.33m initial contract
- Penetrating TAM: Dec-2020 at 0.1% of TAM

If you do a full bottom-up:

10-year DCF:
- Discount rate: 15%
- ST growth rate: 10% per month for 12 months
- MT growth rate: 5% per month for 12 months
- LT growth rate: 5% per annum in perpetuity
- Expenses grow at 25% of the implied revenue grow, i.e. for every $1 in revenue, we incur $0.25.
- Pro forma adjustments: removal of government incentives, dilution every 12 months as per 2A's
- Excluded: Further upside if capital raise in FY23 to allow for expansion into Asian markets, FY25 to allow for expansion into European markets
- TP: $0.74

SOTP:
- TP: $0.78

Blended (50/50)
- TP: $0.76