SB1M er ute med en fersk oppdatering på TargetEveryOne som er listet på Merkur. Dette er en skjult perle som lettest kan sammenlignes med LINK som vi vet er under oppkjøp. Kursen surrer rundt 2,00 etter emisjonen som ble gjort på 2,25 og det er, dersom analysen treffer, betydelig oppside i denne. SB1M skriver blant annet følgende i sin oppdatering:

"A B2C multichannel SaaS marketing expert

Conclusion
TEO is currently a small B2C multichannel marketing expert with a proprietary and scalable one-stop-shop digital marketing software, operating in a growing marketing automation software market, ideally positioned to capitalize on i) digital marketing megatrends and a ii) scalable business model through a partner-driven go to market strategy, currently experiencing strong growth momentum. Simply put, from a customer point of view, TEO offer a do-it-yourself cloud-based software where i.e. Nespresso can utilize big data customer segmentation from its CRM system and 3-party sources, create its own content and campaigns, distribute these through a multichannel platform and review the response in order to optimize marketing further. TEO takes 1) consulting fees based on customized solutions or extensions (14% of sales*), a start-up fee to get access to the platform and a recurring software-as-a-service (“SaaS”) subscription fee (~24% of sales and very high margin*) and consumption based pricing (62% of sales*). Median mature comparable peers with similar normalized margins trades in the range of 3-4x ‘19e EV/Sales. Thus, based on this, TEO as an immature company and our SEK75m ‘19e sales estimate, we initiated coverage with Buy and tp. NOK3.2, which correspond to 2x ‘19e EV/Sales

Our analysis
All-in-one, one-stop-shop digital multichannel marketing solution
It is the combination of 1) an all-in-one, one-stop-shop marketing solution, 2) the ability to utilize high quality customer data segmentation from the clients CRM and 3-party vendors (i.e. Bisnode), and 3) deliver multichannel distribution, we enjoy and argue is the competitive advantage.

Scalable business model with high share of recurring revenues in a growing market
Coupled with 1) a SaaS model (where TEO owns the IP), which is based on attractive recurring revenues through a combination of i) subscription revenues to get access to the platform and ii) automated consumption based billing, 2) a partner-driven go to market strategy, in 3) a software automation market expected to grow at a CAGR of ~9% in until 2025, we argue TEO is positioned to leverage a highly scalable business model.

We initiate coverage with Buy and target set at NOK3.2
Our valuation is based on the strong relationship between EV/Sales and normalised EBIT margins and various valuation methods, all of which support our valuation. A software company should trade at EV/Sales multiple 1/10th of its achievable and normalized EBIT margin. With gross margins in the range 45-50%, normalized EBIT margins of 25-30% should be achievable for TEO, in line with SaaS peers. Consequently, a fair ‘19e EV/Sales (even in a loss-making scenario) should be around 2.5x to 3x. However, adjusted for short track-record and execution risk on our ‘19e revenue estimate we base our NOK3.2 target price on 2x ‘19e EV/sales. This correspond to ~70% upside on last close.

Analysts
Petter Kongslie"