SKO Chart Thread, page-61

hey healthyinvestor,

I think youre missing some key information that justify the valuation amd accorisng to many professional analysists of the comoany is undervalued. Craigs invetsment oartners puts a target price of 7.90 on serko.

the main reason for this is the imoact of the booking.com for business deal. see market annoucment in march for more info. essentially the deal is that serkos platform zeno supports the back end of booking.com for business my assumption is that this is a 50/50 deal and allows serko to taregt smes.

the impact of this deal will syart to be felt in 22 but wont fully be relized until 23 where revenue from this deal alone will be around $97mil (nzd). using a bear/base/bull scenario of the deal and doing a dcf the valuation you get is aroun 7.90 depending on the wacc that you attribute to the company. NB the bear scenario for this stock does put the sp down at 1.50

ultimately I think there is significant upside for well diversified investors who want to add this to thier portfolio. so i think youre fve is quite base level and more resesrch wouldve given you this outsome.

discliamer. not fiancial advice. do your own research.