RE:What's happening ?!See my post on Feb. 12 where I said the share price was fairly valued at $6.00.
Nothing new other than an overpriced security coming down to it's true valuation. The IPO price factored in growth and that growth hasn't materialized.
I use EBITDA as a guideline as opposed to price to sales or P/E.
Last quarter's EBITDA was $3.5m. Let's increase that to $4m. $16m for the year. Applying a 10x multiple which I think is generous, we're at $160m in enterprise value. Add about $35m in excess cash (the deferred revenue is cash from customers). Total of $195m. O/S share count of 27m brings you to a value of $7.22.
$7.22 is a lot closer to $6.00 than it is to what the SP was a few months ago. Earnings need to increase significantly for this thing to pop.
Good luck to those who are in it.