This stock has yet to receive widespread coverage by the local investment community, but at least one, DBS Group Research’s Sachin Mittal, has turned more cautious. Even though he has maintained his “buy” call on AvePoint, Mittal has lowered his target price from US$28 to US$20 to reflect the broader de-rating of software-as-a-service (SaaS) peers.
In a somewhat ironic twist, the growing prevalence and capabilities of AI have sparked concerns that conventional software providers will be undermined, as tasks once performed by armies of white-collar workers can now be streamlined.
AvePoint Inc, which was listed first on the Nasdaq and, more recently, the Singapore Exchange (SGX), is not immune to this broader concern affecting software companies. Despite its recent report of both higher revenue and earnings, its share price has dipped. From US$13.80 ($17.64) as of Feb 27, the day it reported its FY2025 earnings, AvePoint’s SGX-quoted shares closed at US$13.15 on March 3. The company started trading on SGX last September at US$19.70.
