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by jkaljundi 3768 days ago
It depends mostly on growth. 10 P/E is OK if you grow 2 x year as a large company or 4-5 x per year as a smaller company. Not if you're a small company growing up to 2 x per year. 10 x earnings means huge growth and potential upside.

Also see Tom Tunguz' post on benchmarking SaaS companies from a few days ago: http://tomtunguz.com/benchmarking-exceptional-series-a-compa...