Argus Research: Society Pass (Nasdaq: SOPA) – Fair Value Represents Significant Upside from Current Valuation

NEW YORK, NY, May 23, 2022 (GLOBE NEWSWIRE) — via NewMediaWire – Argus Research Co (“Argus”) issues Equity Research Update on Society Pass Inc. (Nasdaq: SOPA).

Summary:

  • The company’s recent market cap near $40 million is less than one-time Argus’ 2022 year-end revenue run-rate forecast of $50 million, well below the average multiple of more than six for a basket of comparable e-commerce peers.
  • In May 2022, Society Pass reported first-quarter 2022 revenues of $445,090, representing more than 4,600% growth over the prior-year period.
  • As of March 31, 2022, Society Pass held nearly $31 million in cash on its balance sheet, with no debt. In Argus’ view, the company is capitalized sufficiently to execute on its robust M&A strategy, while maintaining flexibility to limit share issuances.
  • As of March 2022, Society Pass had amassed more than 1.6 million registered users and over 5,500 affiliated merchants.
  • Based on Argus’ EV/revenue analysis, Argus arrives at a fair value estimate for SOPA of $10 per share, well above current levels.

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