Public Company SaaS Valuations

Periodically I like to take a quick snapshot of the public company SaaS valuations (see 2012 and 2010). With Marketo having a big IPO last week and ChannelAdvisor just pricing their IPO today, it’s a good time to see where things stand compared to my last SaaS valuations post 13 months ago.

• salesforce.com (NYSE:CRM) – customer relationship management SaaS company.
  Market cap: $26.82 billion
  Last reported quarter’s revenues: $834.7 million
  Employees: 9,800
• NetSuite (NYSE:N) – enterprise resource planning (accounting, inventory, etc) SaaS company.
  Market cap: $6.58 billion
  Last reported quarter’s revenues: $91.6 million
  Employees:  1,953
• Constant Contact (NASDAQ:CTCT) – email marketing for small business SaaS company.
  Market cap: $456.9 million
  Last reported quarter’s revenues: $68.2 million
  Employees: 1,162
• LogMeIn (NASDAQ:LOGM) – remote machine access SaaS company.
  Market cap: $601.3 million
  Last reported quarter’s revenues: $37.4 million
  Employees: 565
• LivePerson (NASDAQ:LPSN) – live chat SaaS company.
  Market cap: $505.6 million
  Last reported quarter’s revenues: $42.5 million
  Employees: 748
• Responsys (NASDAQ:MKTG) – email marketing SaaS company.
  Market cap: $478.8 million
  Last reported quarter’s revenues: $48.5 million
  Employees: 866
• Demandware (NYSE:DWRE) – ecommerce SaaS company.
  Market cap: $887.5 million
  Last reported quarter’s revenues: $20.5 million
  Employees:  298
• ExactTarget (NASDAQ:ET) – email marketing SaaS company.
  Market cap: $1.6 billion
  Last reported quarter’s revenues: $88.9 million
  Employees: 1,673
• Marketo (NASDAQ:MKTO) – marketing automation SaaS company.
  Market cap: $882.8 million
  Last reported quarter’s revenues: $19.7 million
  Employees: 373
• ServiceNow (NYSE:NOW) – IT asset management SaaS company.
  Market cap: $4.9 billion
  Last reported quarter’s revenues: $85.9 million
  Employees: 1,077
• Workday (NYSE:WDAY) – HR and financial management SaaS company.
  Market cap: $10.9 billion
  Last reported quarter’s revenues: $81.5 million
  Employees: 1,750

SaaS shows no signs of slowing down as a growth sector and the market valuations reflect it. Salesforce.com continues to dominate in terms of size and scale with two of the newer entrants, ServiceNow and Workday, having massive revenue multiples and expectations of amazing growth.

What else? What are some other thoughts on public company SaaS valuations?