SMRT - stevehemingway/trading GitHub Wiki

https://guastywinds.substack.com/p/smartrent-smrt-us-how-charlie-munger

Gusty Winds Musing, an anonymous Substack, published on SmartRent Inc(NYSE: SMRT — $575 million), an enterprise smart home software platform. Gusty Winds Musing highlighted that the company’s largest customers appear to be LPs in one of the company’s largest VC shareholders – and those customers have dramatically lowered their SmartRent deals following stock sales by their VC fund. Gusty Winds Musing concluded,

“The company has a market cap of $570m. It has cash of $215m and no debt. So an EV of ~$350m. That puts it on ~11x EV/Sales of just the software business, and of course the company is losing substantial amounts of money from its installation services and operating expenses. It’s one of the most expensive software companies on the Nasdaq on those metrics and it loses ~$3 at the bottom line for every dollar of software revenue that it has… I think this is worth $0 and I am short.”