The Growth Premium Persists in SaaS Valuations

As the world follows every whisper & rumor from AI, what has happened to public SaaS?

Forward Revenue Multiples by Quartile

The answer is not much! All the fun is in the private markets.

Multiples haven’t moved outside of a narrow band since the post-Covid crash in 2022.

AI & Non-AI Software Companies Valued Differently

Even here, AI is the story, with AI SaaS companies seeing different valuation correlates : revenue growth. Meanwhile, non-AI SaaS companies are valued more broadly with efficiency metrics included.

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