In a recent development, AvePoint's (AVPT, Financial) chief legal officer, Brian Michael Brown, announced the sale of 35,000 shares in the company. According to a regulatory filing, these shares were sold at a price of $15.11 each on April 23.
The transaction resulted in proceeds exceeding $500,000, highlighting a significant move by the company's executive. AvePoint, a prominent player in the data management sector, continues to observe strategic changes in its stock holdings.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 6 analysts, the average target price for AvePoint Inc (AVPT, Financial) is $18.83 with a high estimate of $26.00 and a low estimate of $15.00. The average target implies an upside of 17.20% from the current price of $16.07. More detailed estimate data can be found on the AvePoint Inc (AVPT) Forecast page.
Based on the consensus recommendation from 7 brokerage firms, AvePoint Inc's (AVPT, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for AvePoint Inc (AVPT, Financial) in one year is $11.05, suggesting a downside of 31.24% from the current price of $16.07. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the AvePoint Inc (AVPT) Summary page.
AVPT Key Business Developments
Release Date: February 27, 2025
- Total Revenue: $89.2 million in Q4, representing 20% year-over-year growth.
- SaaS Revenue: $64.8 million in Q4, 43% year-over-year growth, representing 73% of total Q4 revenues.
- Total ARR: $327 million as of December 31, 24% year-over-year growth.
- Net New ARR: $18.1 million in Q4, 30% year-over-year growth.
- Gross Margin: 75.5% in Q4, compared to 75.2% in Q4 of 2023.
- Non-GAAP Operating Margin: 16.2% in Q4, a year-over-year improvement of more than 240 basis points.
- Operating Cash Flow: $32.8 million in Q4, nearly $90 million for the full year.
- Free Cash Flow Margin: 26% for the full year, more than doubled from 12% in 2023.
- Gross Retention Rate: 89% adjusted for FX, improved by 2 percentage points year-over-year.
- Net Retention Rate: 111% adjusted for FX, improved by 2 percentage points year-over-year.
- Cash and Short-term Investments: $290.9 million at the end of Q4.
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- AvePoint Inc (AVPT, Financial) reported a strong Q4 with total revenues of $89.2 million, representing a year-over-year growth of 20%.
- SaaS revenue grew 43% year-over-year, making up 73% of total Q4 revenues, indicating a successful shift towards a SaaS-based model.
- The company achieved a non-GAAP operating margin of 16.2%, surpassing the high end of their guidance and showing significant profitability improvement.
- AvePoint Inc (AVPT) ended the year with over 25,000 customers, including significant expansions with major global companies, demonstrating strong customer retention and acquisition.
- The company generated $32.8 million in operating cash flow in Q4, contributing to a total of nearly $90 million for the full year, highlighting strong cash flow generation.
Negative Points
- Despite strong ARR growth, the gap between ARR and revenue growth is expected to widen in 2025, partly due to FX impacts and a decline in term license revenue.
- The company anticipates a flattening of non-GAAP EBIT margin in 2025, indicating a potential slowdown in margin expansion.
- AvePoint Inc (AVPT) faces a competitive landscape in the data security posture management market, which could impact future growth.
- The company's federal business exposure is limited to 2% of total ARR, which may limit growth opportunities in the public sector.
- Investments in sales, marketing, and R&D are expected to increase, which could impact short-term profitability despite long-term growth potential.
