Entrata at $575m ARR Growing 23% Is First of the Next Wave of PE-Backed Software IPOs. The Catch: Almost None of Them Are Accelerating.

Based on the detailed analysis provided in your post, here are the key takeaways regarding Entrata's IPO valuation:

1. Revenue and Growth:

   • 2025 Revenue: $509M
   • Forward Run-Rate (Q1 2026): ~$574M
   • Year-over-Year Growth Rate: Approximately 20-24%

2. Multiple Range:

   • Bear Case: Payments-weighted multiple (~4x) = ~$2B EV
   • Base Case: Vertical-software blend (~4.75x) = ~$2.4B to$2.8B EV
   • Bull Case: AppFolio/ServiceTitan parity (~5.5x) = ~$3.2B EV

3. Adjustments:

   • IPOs typically price at a discount (10-15%) to leave room for a first-day pop.
   • Entrata has $400M in term loan and ~$120M cash, resulting in net debt of ~$270M.

4. Expected Market Cap:

   • After

Read the full article at SaaStr

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