CoverAll Technologies (COVR)

[rrat02]

Compelling R/R Post #4:

Valuation of COVR relative to competitors specifically the "industry leader" Guidewire (GWRE). The following numbers are from Yahoo so probably not 100% correct but we can assume that they are somewhere in the ballpark.

GWRE

Market Cap: 2.41 billion

Forward PE: 93

Price/Sales: 8.8


COVR

Market Cap: 36.4 million

Forward PE: 11.67

Price/Sales: 1.86


To put the above in perspective even if the valuation of GWRE were cut in half I think one could still argue that in relation to GWRE the market cap of COVR represents a compelling investment opportunity/value.