Korea/Asia, Events, IPOs, Douglas Research Advisory

Douglas Kim

Nearly 30 years of experience in the Korean/Asian equity research. Major sectors coverage include the following:
- Technology 
- Consumer 
- Special Situations/Deep Value Plays
- Tender Offers/M&As
- Holdcos/Stubs
- Asian Unicorns/Private Companies

Korea/Asia, Events, IPOs

Ping Identity IPO: Micro-Quantamental Analysis Points to Limited Upside

Equity Capital Markets

Ping Identity Holding Corp / Equity Capital Markets

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<li>
<a href="https://www.smartkarma.com/entities/ping-identity-holding-corp" target="_blank" data-smartkarma-citation="entities:28271:1" rel="noopener">Ping Identity Holding Corp (PING US)</a> is expected to complete its IPO in the next few days. The company plans to offer 12.5 million shares at $14 to $16 per share. At the midpoint of its proposed range, the company would raise $188 million at a $1.2 billion valuation. </li>
<li>We estimate Ping Identity Holding to generate revenue of $229.5 million in 2019 (up 13.8% YoY) and $257.9 million in 2020 (up 12.4% YoY). We estimate Subscription and Professional Services &amp; other to represent 92.6% and 7.4% of total revenue in 2019, respectively. We have assumed the company's gross margins to increase from 77.9% in 2018 to 76.9% in 2019, and 76.6% in 2020.</li>
<li><strong>Our base case valuation of Ping Identity Holding is $1.5 billion (market cap) or $19.18 per share, representing 27% upside to the mid-point of the IPO valuation range of $14 to $16 per share. As such, we have a positive view of this IPO.</strong></li>
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Ping Identity Holding Corp (PING US) is expected to complete its IPO in the next few days. The company plans to offer 12.5 million shares at $14 to $16 per share. At the midpoint of its proposed range, the company would raise $188 million at a $1.2 billion valuation. 
We estimate Ping Identity Holding to generate revenue of $229.5 million in 2019 (up 13.8% YoY) and $257.9 million in 2020 (up 12.4% YoY). We estimate Subscription and Professional Services &amp; other to represent 92.6% and 7.4% of total revenue in 2019, respectively. We have assumed the company's gross margins to increase from 77.9% in 2018 to 76.9% in 2019, and 76.6% in 2020.
Our base case valuation of Ping Identity Holding is $1.5 billion (market cap) or $19.18 per share, representing 27% upside to the mid-point of the IPO valuation range of $14 to $16 per share. As such, we have a positive view of this IPO.


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Ping Identity Holding Corp IPO 가치 분석