APPN

Appian Corp - Ordinary Shares - Class A

TMT


Presented:04/21/2023
Price:$40.00
Cap:$1.65B
Current Price:$30.99
Cap:$2.24B

Presented

Date04/21/2023
Price$40.00
Market Cap$1.65B
Ent Value$2.35B
P/E RatioN/A
Book Value$2.00
Div Yield0%
Shares O/S41.34M
Ave Daily Vol327,352
Short Int7.68%

Current

Price$30.99
Market Cap$2.24B
Appian Corp. engages in the provision of business process management (BPM) solutions. Its products include BPM software, case management, mobile application development, and platform-as-a-service. The company was founded by Matthew Wheeler Calkins, Robert Charles Kramer, Marc Wilson, and Michael Beckley in 1999 and is headquartered in McLean, VA.

Publicly traded companies mentioned herein: Appian Corp (APPN), Microsoft Corp (MSFT), Pegasystems Inc (PEGA), Salesforce Inc (CRM)

Highlights

The presenter is long shares of Appian Corp (APPN), which provides a low-code process automation platform that offers workflow, AI, robotic process automation, data fabric, and process mining. While the low-code space is fairly crowded, APPN is uniquely focused on the high-end, process-intensive applications and has an enterprise customer base averaging ~$500k in revenue per customer. At the current $40 per share, he thinks the best-in-class standalone software business is slightly undervalued. On top of that, there is massive upside potential over the next twelve months from last year’s $2B winning judgment against APPN’s main competitor PEGA, which doesn’t seem to be baked into the stock price. His bull case price target is $100 per share, while his base case is lower albeit with very limited downside. 

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Idea Discussion

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