“Our TP is based on a 7x 12-month forward EV/Sales, at about 25% premium to the peer average of 5.6 times for its superior growth,” wrote Mittal in his Feb 27 note. “We believe AvePoint should be largely immune to AI-related disruption given its local compliance expertise and its own AI-readiness.”
DBS Group Research has maintained its “buy” call on AvePoint with a lower target price (TP) of $20, down from $28, to reflect the broader de-rating of software-as-a-service (SaaS) peers.
Analyst Sachin Mittal says the reduced target price is based on seven times 12-month forward EV/Sales. Despite the lower multiple, AvePoint trades at a 41% discount to peers on this metric while offering a 21% revenue CAGR over FY2025 to FY2027, compared with the peer average of 15%.
