MYOB has the highest EBITDA margin (45%+) in the whole accounting/finance software industry as far as I know. (mainly due to its legacy in desktop license market and Australian premium)
In a cloud driven market where the dominant players are xero and intuit. This margin can not be sustainable as the company no longer has any clear advantage. The company's growth is reasonable (7%-8%) in next few years. But it does not justify its current price.
I ran DCF for MYOB and found the fair value shall be around 2.80-3.50. I will short it at this price.
MYOB has the highest EBITDA margin (45%+) in the whole...
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