Next fintech IPO is a ~$4 billion company you probably haven't heard of... OneStream Software is - private equity owned - detroit michigan based - building CFO tools Metrics are solid - $480M ARR growing 37% YoY (will be one of fastest growing public software cos) - 118% Net Revenue Retention - $300,000+ ACVs across 1,400+ clients Great companies can be built anywhere. Will be interesting to see where the company trades. Other companies growing 30% YoY have ARR multiples covering a wide range 6-25x with a median around 11x so company so they are targeting a $4+ billion valuation at IPO (less than the $6 billion they last raised at in 2021 despite revenues more than doubling since). ps hit $100M in 2020 8 years in.
The free cash flow seems to be what really makes it stand out from IPOS of the last few years
Really great to see a company of this size going public. Very healthy for the overall ecosystem, and I hope it encourages other companies in the $300-500M ARR range follow suit. Their metrics are outstanding though, as you point out. The FCF especially stands out as top-tier compared to VC backed companies of this size.
This looks a lot like Dlocal - a lot of press that they make money but after being public they can’t - if the margins are so high what is sucking all the cash ?
We're not sleeping on CFO tech here. We have OneStream listed as a highflier in our financial planning & analysis software & corporate performance management solutions markets. Midwest SaaS FTW
Detroit 🔥 love to see it. We’re next 💎
I have been a user and went through implementation, and I was not a fan.
right
Solo-GP @ Cambrian (pre-seed & seed fintech), ex A16Z (Partner - Fintech)
1moIf you want to go deeper on the public market comps for software companies growing 30% YoY, here you go. again range is 6x to 25x revenue (11x median). financial software is very sticky so that is a big plus. meritech also has a great write up here. https://www.meritechcapital.com/blog/onestream-or-s-1-breakdown