Efecte: Serving Europe
Initiating Coverage
2022-03-04
07:45
Redeye initiates coverage on Efecte, a Finnish IT/Enterprise Service Management SaaS platform, targeting the European mid-market. While currently running at ~zero margins favoring sales growth over profitability, strong SaaS metrics suggest Efecte is set for high profitability going forward. Considering Efecte is trading at <3x sales 2023E, we believe the market’s expectations on future profitability are too defensive.
FN
MS
Fredrik Nilsson
Mark Siöstedt
Disclosures and disclaimers