RE:RE:RE:RE:RE:RE:Guess the low? It's better to value growth stocks using price to sales or price to gross profit. If you want to take it one step further use enterprise value rather than market cap.
Anyway, it's important to understand the concept of customer acquisition costs and customer lifetime value in order to quantify the potential for an investment.
customer lifetime value = average value of revenue per year per customer * number of customers * retention rate per year per customer
Acuityads has a 89% customer retention rate.
If the average current customer increases his average annual sales by 2 times, then gross profit will increase by an additional 55 million ( current run rate) with the current investments in place. That is, Acuityads will suddenly achieve ebitda in the 40-50 million range which coincides with managements 200 million revenue target.
At current market cap one can see that the company is not at all expensive. There is a reason The Trade Desk and Magnite trade at very high price to sales ratios.