NCNO

Investment Analysis Clubs Saul’s Investing Discussions
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nCino announces launch of initial public offering

For those following NCNO here is the latest. Announcement in link

https://seekingalpha.com/news/3589020-ncino-announces-launch…

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I’ve added it to my watch list on SA and also saw this update. I’m watching it closely and will probably buy some at the IPO. It’s about a 50% grower so its numbers aren’t as eye-popping as others but I suspect it will exceed expectations given current trends in its favor. I’m worried I will miss the IPO date. How much advance warning will there for the IPO date?

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I have the same question as remmdawg

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I live in Wilmington, NC and nCino and Live Oak Bank have been great for our small community. From the information I have received the IPO expected pricing is Tuesday July 14 (post close).

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More news just came out on SA:

https://seekingalpha.com/article/4357354-ipo-update-ncino-pl…

It states July 14 is the “IPO pricing date.” I’m not sure if this is the actual date of the IPO.

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even though the pricing is at mid 20’s it could launch way higher like sometimes double due to the demand.

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I hope these thoughts and questions are not OT as my goal is to stimulate conversation and create value for board members as well as directly discuss a Saas growth stock.

NCNO’s #s look solid. Growing revenue and profit. NRR at 118%. Cash flow is negative - should that be a big concern at this stage?

  1. Is it of any concern that NCNO is built on the salesforce platform? I don’t fully understand what that means, and given that Salesforce is a significant shareholder it’s likely a non issue, VEEV is built on it, but any potential issues on this?

  2. How many of you have purchased right on the day of the IPO and what have your results been? I’ve read that many on this board don’t suggest buying right at IPO - rather recommending waiting a quarter or two to see full financials and performance before taking a position. What has been your experience with this and any thoughts?

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I plan to buy on opening day. I have not bought on opening day prior but in this instance plan to make an exception. I believe the revenue stream for this company will be quite stable and chances of being dethroned from their clients once they establish a foothold are much more difficult than many of our software companies due to the nature of the solution. Banks are notoriously slow to change once something is working hence even if the revenue growth is not as strong as some of our other companies the chances of predictable revenue are much higher. Another point is that once a product is proven in one bank selling would be easier for that product in other banks that also want to migrate to the cloud and hence chances of success in new sales pitches will be higher as compared to newer entrants.

I think they will definitely at the high end ($24) or even higher if they raise their price which would put it their valuation at around 2.4-2.5 billion. My plan is to buy half at open and then wait either same day or next day to buy the other half. I can see it open at high 30’s to low 40’s and then would depend on how market is behaving that day. I am leaning towards a limit of 40 dollars for my first buy and see if it opens below that. For those planning to buy on day 1 or soon what is your pricing strategy going to be.

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Hello Everyone!

I have been following this board since Feb’2020 and have learnt a lot. Please accept my appreciation.

I am interested in bidding for NCNO. However, I am unable to find this ticker in Etrade or TD Ameritrade. Would any of you know a brokerage where NCNO is available.

Or is this IPO only available to big investors, employees and friends and family of the employees?

Thanks in Advance,
Piyush

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Piyush

It’s not yet traded publicly.
https://www.marketwatch.com/tools/ipo-calendar

Above link says week of 07/13. Not sure exactly what day & time though i have sometimes seen companies start trading (first time in markets) a couple of hours after the market open.

Once it starts trading you should be able to use your favorite broker like fidelity and buys shares.

Thanks,
Praveen

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Another notable IPO for next week is GOCO.

Thanks,
Praveen