Do you happen to know what was the equity valuation ratio between Outbrain and Taboola in the prosed merger? I tried to parse something from the press reports and got a combined value of $2B after cash $250m out, of which $833 would go in cash and stock to Outbrain side. That would give an equity value ratio of 0.58. Taking Taboola’s current market cap and Outbrain’s share count, one could ballpark Outbrain’s current share value based on that old deal.
I get this is more of a value play, but what are your thoughts on the competitive dynamics vs Taboola? This looks like a game of scale with greater data leading to greater ROAS for advertisers. With Taboola being the larger player in the market, I'm just wondering why Outbrain doesn't get squashed in the coming years.
Oh my keyboard is doing weird stuff, sorry. My question is if you are already invested or do you wait that the price is coming down during low adversiting in 2023?
41% since you wrote this up vs, 13% for the Russell 2000, great work!
Do you happen to know what was the equity valuation ratio between Outbrain and Taboola in the prosed merger? I tried to parse something from the press reports and got a combined value of $2B after cash $250m out, of which $833 would go in cash and stock to Outbrain side. That would give an equity value ratio of 0.58. Taking Taboola’s current market cap and Outbrain’s share count, one could ballpark Outbrain’s current share value based on that old deal.
Great write-up! A lot of valuable insights here.
I get this is more of a value play, but what are your thoughts on the competitive dynamics vs Taboola? This looks like a game of scale with greater data leading to greater ROAS for advertisers. With Taboola being the larger player in the market, I'm just wondering why Outbrain doesn't get squashed in the coming years.
Really enjoy your thought process and each step and model. Hope this blog contributes for years.
Been waiting patiently for the post, and you delivered - great work
What do you think of Tremor TRMR, which is in a similar business and also looks very cheap?
Oh my keyboard is doing weird stuff, sorry. My question is if you are already invested or do you wait that the price is coming down during low adversiting in 2023?
Very cool analysis! Are you Altägyptische Invested ?
12.5 multiple sounds high. How sis you come up with the Number?