I know these companies are unattractive for a lot of people given higher interest rates, high valuations, et al and if they don't fit your investment criteria today that's fine. Instead this post are for those who are interested in these kinds of companies. If you're interested, what are you looking at? Me, I'm personally looking at:
- Roku: Trading at 5.7x based on my '22 revenue forecast ($3,660m or 31% y/y growth). Applying a 9.4x EV/S multiple from other high-growth tech comps would yield a $262 price target (60% upside).
- Twilio: They power the behind-the-scenes infrastructure for businesses to communicate with customers digitally. I don't see this business going away & just exponentially increasing.
- Zoom: Another mission-critical stock for businesses & employees to communicate with each other as work moves to hybrid & remote arrangements. A lot of competition, but I haven't seen a better tool in terms of UI, UX, and they will be the top player in video chat for the foreseeable future
Disclosure: I own ROKU and do have intentions to buy more
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