Added to YB: 2026-08-31
Pitch date: 2026-08-27
DOMO [bullish]
Domo, Inc.
-2.03%
current return
Author Info
Divergent Capital is a self-taught value investor in the tradition of Graham, Buffett and Munger. Sign up for the newsletter.
Company Info
Domo, Inc., together with its subsidiaries, operates a cloud-based modern AI and data products platform in North America, Western Europe, Australia, Japan, and India.
Market Cap
$170.7M
Pitch Price
$3.94
Price Target
N/A
Dividend
N/A
EV/EBITDA
-13.01
P/E
-2.86
EV/Sales
0.88
Sector
Software
Category
special_situation
Domo Inc ($DOMO): A Positively Skewed Special Situation.
DOMO: Domo is a speculative event-driven long best expressed through January 2028 $5 calls at $0.25: the pending $400M asset sale could leave $4.84 per share of net cash and more than $900M of NOLs for a value-accretive acquisition, while 25.7% implied volatility appears to underprice the outcome dispersion. The calls can expire worthless if the sale fails, NOLs are impaired, or management pursues a delayed, dilutive or poor acquisition.
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