NEWR

New Relic Inc

TMT


Presented:10/18/2017
Price:$51.00
Cap:$2.74B
Current Price:$86.99
Cap:$6.18B

Presented

Date10/18/2017
Price$51.00
Market Cap$2.74B
Ent Value$2.08B
P/E RatioN/A
Book Value$3.54
Div Yield0%
Shares O/S53.70M
Ave Daily Vol443,355
Short Int6.58%

Current

Price$86.99
Market Cap$6.18B
New Relic, Inc. engages in the provision of software-as-a-services for digital intelligence products. It allows the users to monitor software and infrastructure performance and measure end user activities through desktop and mobile devices. The company was founded by Lewis Cirne in September 2007 and is headquartered in San Francisco, CA.

Publicly traded companies mentioned herein: Amazon.com Inc (AMZN), Cisco Systems Inc (CSCO), New Relic Inc (NEWR), Splunk Inc (SPLK)

Highlights

The presenter is long shares of New Relic (NEWR), a provider of application performance management (APM) and infrastructure performance tools, on the basis of favorable tailwinds and market share shifts within the APM market, where legacy providers are ceding share to next gen providers like NEWR. The presenter believes NEWR will see strong revenue growth over the next 2 – 5 years, with the possibility of a takeout. Should his thesis play out and the company sees consistent 18% - 20% growth, the sales multiple valuation could expand from ~3x today into the 5x – 6x range by calendar 2020.

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Idea Discussion

Commentor 1 - 2 weeks ago

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