Cheval Capital, Inc.

Valuation of Public Hosting Companies - January 31, 2013

Summarized below are estimates of the relative valuations of some public companies that have significant hosting operations. Please be aware that a number of these companies have other businesses that may also affect their valuations. (All data was taken from publicly available financial statements and please see this post for how we calculate Enterprise Value.)

 

As always, please feel free to contact us if you have any comments, or questions.

Cheval Capital, Inc.

Disclaimer: This post is for general information purposes and is not meant to be taken as financial advice, a recommendation to buy or sell the stocks mentioned above, a comprehensive discussion of valuation or how to do the calculations discussed. Please be sure to consult your financial advisors when valuing your company, considering the sale of your business or making other financial decisions.

Valuation of Public Hosting Companies - July 13, 2012

Summarized below are estimates of the relative valuations of some public companies that have significant hosting operations. Please be aware that a number of these companies have other businesses that may also affect the valuations. (All data was taken from publicly available financial statements and please see this post for how we calculate Enterprise Value.)

Prices as of midday 7/13/2012
	Annualized	EntValue	Enterprise Value /
Company	Revs ($mil)	($mil)	Revenues	EBITDA
North America
Rackspace	$     1,133	$     6,272	5.5x	15.6x
Web.Com Group	$       366	$     1,929	5.3x	14.2x
Peer1	$       134	$        386	2.9x	10.8x
Europe
United Internet	$     2,796	$     4,137	1.5x	7.9x
Dada	$       108	$         87	0.8x	5.7x
IOMart Gp	$         52	$        257	4.9x	14.7x
Australia
Melbourne IT	$       184	$        198	1.1x	7.7x

 

As always, please feel free to contact us if you have any comments, or questions.

Cheval Capital, Inc.

Disclaimer: This post is for general information purposes and is not meant to be taken as financial advice, a recommendation to buy or sell the stocks mentioned above, a comprehensive discussion of valuation or how to do the calculations discussed. Please be sure to consult your financial advisors when valuing your company, considering the sale of your business or making other financial decisions.

Valuation of Public Hosting Companies - March 16, 2012

Summarized below are estimates of the relative valuations of some public companies that have significant hosting operations. Please be aware that a number of these companies have other businesses that may also affect the valuations. (All data was taken from publicly available financial statements and please see this post for how we calculate Enterprise Value.)

 
 
As always, please feel free to contact us if you have any comments, or questions.

Cheval Capital, Inc.

Disclaimer: This post is for general information purposes and is not meant to be taken as financial advice, a recommendation to buy or sell the stocks mentioned above, a comprehensive discussion of valuation or how to do the calculations discussed. Please be sure to consult your financial advisors when valuing your company, considering the sale of your business or making other financial decisions.

Prices as of midday 3/16/2012

Annualized EntValue EntValue/ EntValue/

Company Revs ($mil) ($mil) Revenues EBITDA

North America

Rackspace $1,133 $8,133 7.2 19.9 

Web.Com Group $294 $1,734 5.9 17.5 

Peer1 $134 $289 2.2 8.4 

Europe

United Internet $2,498 $4,660 1.9 10.0 

Dada $100 $109 1.1 8.2 

Net Benefit Gp * $84 $233 2.8 10.4 

IOMart Gp $36 $241 6.7 23.1 

Australia

Melbourne IT $189 $199 1.1 6.8 

* Sale price of NBT

Prices as of midday 3/16/2012

Annualized EntValue EntValue/ EntValue/

Company Revs ($mil) ($mil) Revenues EBITDA

North America

Rackspace $1,133 $8,133 7.2 19.9 

Web.Com Group $294 $1,734 5.9 17.5 

Peer1 $134 $289 2.2 8.4 

Europe

United Internet $2,498 $4,660 1.9 10.0 

Dada $100 $109 1.1 8.2 

Net Benefit Gp * $84 $233 2.8 10.4 

IOMart Gp $36 $241 6.7 23.1 

Australia

Melbourne IT $189 $199 1.1 6.8 

* Sale price of NBT

Comment on Public Hoster Valuations

Just a brief comment on the valuations of public hosting companies that I posted a few minutes ago.  If you look back at the valuations over the last year, you'll see that while the companies generally have had good revenue growth, their valuation multiples (vs EBITDA) seemed to have expanded at an even faster rate.  

Frank

Disclaimer: This post is for general information purposes and is not meant to be taken as financial advice, a recommendation to buy or sell the stocks mentioned above, a comprehensive discussion of valuation or how to do the calculations discussed. Please be sure to consult your financial advisors when valuing your company, considering the sale of your business or making other financial decisions.

Valuation of Public Hosting Companies - February 16, 2011

Summarized below are estimates of the relative valuations of some public companies that have significant hosting operations.   Please be aware that a number of these companies have significant other businesses that may also affect the valuations.  (All data was taken from publicly available financial statements and please see this post for how we calculate Enterprise Value - "EntValue".)  

Prices as of midday 2/16/2011
	Annualized	Enterprise Value	EntValue/	EntValue/
Company	Revs ($mil)	($mil)	Revenues	EBITDA
North America
Savvis	$       968	$     3,041	3.1	14.13
Rackspace	$       799	$     5,550	6.9	22.63
Navisite	$       131	$        311	2.4	10.80
Web.Com Group	$       131	$        510	3.9	Neg.
Peer1	$       112	$        232	2.1	9.06
Group iWeb	$         27	$         62	2.3	8.68
Europe
United Internet	$     2,591	$     5,012	1.9	10.42
Dada	$       200	$        195	1.0	11.05
Mamut	$         79	$        118	1.5	8.72
Net Benefit Gp	$         71	$        160	2.3	10.34
IOMart Gp	$         37	$        153	4.2	17.64
Australia
Melbourne IT	$       196	$        217	1.1	7.70

As always, please feel free to contact us if you have any comments, or questions.

Cheval Capital, Inc.

Disclaimer: This post is for general information purposes and is not meant to be taken as financial advice, a recommendation to buy or sell the stocks mentioned above, a comprehensive discussion of valuation or how to do the calculations discussed.  Please be sure to consult your financial advisors when valuing your company, considering the sale of your business or making other financial decisions.

Corrected: 3/11/11