If you look at their revenue growth the past several years and projections I wouldn't assume immediately it's a short.
Their revenue growth has been very solid, so while the valuation may seem a bit high, if they hit their numbers for this year and demonstrate good visibility in to 2020 based on hitting projections it's no where near a short based on the value of other cloud/SaaS companies currently.
Now it would be great to look at the S1 to see the costs associated with the business but I don't expect it to be an upside down story as much as Box was at the time of their IPO.
Additionally you still have companies like MongoDB growing slower, from a smaller revenue base, with some very large costs and no where near profitability and still trading at quite a high premium, so based on their revenue and growth and assuming their net loss is below or at 50% of their revenue base it will still trade well based on current comps in the market.
Their revenue growth has been very solid, so while the valuation may seem a bit high, if they hit their numbers for this year and demonstrate good visibility in to 2020 based on hitting projections it's no where near a short based on the value of other cloud/SaaS companies currently.
Now it would be great to look at the S1 to see the costs associated with the business but I don't expect it to be an upside down story as much as Box was at the time of their IPO.
Additionally you still have companies like MongoDB growing slower, from a smaller revenue base, with some very large costs and no where near profitability and still trading at quite a high premium, so based on their revenue and growth and assuming their net loss is below or at 50% of their revenue base it will still trade well based on current comps in the market.