Deeply researched article studying the last 15 years of performance of software stocks passing the Rule of 40, and all software stocks, by valuation tier (overvalued, fairly valued, undervalued). Link below is part 3.
One TL;DR hint - “undervalued” in this space hasn’t represented good value (~i.e. good returns.)
https://seekingalpha.com/article/4384291-rule-of-40-for-saas…