How have expectations for Cloud stocks changed in the past 6 months? One way to get at

this is to compare the change in price vs the change in the multiple. Using data from

Bessemer Venture Partners, I compared the price changes and multiple changes for the

58 stocks in the EMCLOUD Index. Results are in the table below, sorted by the difference

in price change vs multiple change.

Although in most cases prices have dropped dramatically, on average prices have changed

less than the expectations about prices. The average price change for the past 6 months

was -34% vs an average multiple change of -42%. A striking example is BILL. The price

has dropped 21% since end of August vs a drop in the multiple of 58%. Only four stocks

have had a change in multiple lower than the change in price.

Only three stocks increased in price during the period: Mimecast (MIME), Datadog (DDOG),

and Tenable (TENB). Mimecast was the only stock with an increase in multiple.

Best to you,

Ears

```
08/30/2021 08/30/2021 02/18/2022 02/18/2022 Price Multiple
Ticker Name Price EV/AnnRev Price EV/AnnRev Change Change Diff
------ ------------------ ---------- ---------- ---------- ---------- ------ -------- ------
BILL Bill 282.08 84.6x 224.23 35.6x -20.5% -57.9% 37.4%
DDOG Datadog 136.63 44.7x 159.02 37.5x 16.4% -16.2% 32.6%
ZS Zscaler 278.17 53.3x 255.22 38.1x -8.3% -28.5% 20.2%
API Agora 30.48 16.0x 8.94 1.5x -70.7% -90.4% 19.8%
OKTA Okta 264.98 39.7x 164.67 17.9x -37.9% -54.8% 16.9%
ASAN Asana 77.87 46.6x 63.14 29.9x -18.9% -35.8% 16.9%
AI [C3.ai](http://C3.ai) 51.25 20.3x 21.19 5.0x -58.7% -75.5% 16.8%
SNOW Snowflake 297.85 77.4x 273.77 59.0x -8.1% -23.7% 15.6%
NET Cloudflare 123.42 62.3x 95.87 39.4x -22.3% -36.8% 14.4%
TEAM Atlassian 366.03 40.8x 298.07 27.5x -18.6% -32.5% 14.0%
ZEN Zendesk 123.04 11.4x 115.06 9.1x -6.5% -20.0% 13.6%
SMAR Smartsheet 80.49 20.7x 55.43 11.5x -31.1% -44.5% 13.3%
CRWD Crowdstrike 286.37 52.6x 164.93 24.1x -42.4% -54.1% 11.7%
TWLO Twilio 366.68 22.5x 158.33 7.2x -56.8% -68.2% 11.4%
PLAN Anaplan 61.39 16.6x 44.78 10.2x -27.1% -38.4% 11.3%
HUBS HubSpot 701.58 26.1x 497.59 15.7x -29.1% -40.0% 10.9%
FROG JFrog 38.87 16.1x 23.57 8.0x -39.4% -50.1% 10.8%
QLYS Qualys 116.09 10.3x 114.80 9.1x -1.1% -11.7% 10.6%
XM Qualtrics 45.81 23.7x 28.74 12.4x -37.3% -47.8% 10.6%
NOW ServiceNow 641.65 22.4x 556.01 17.1x -13.3% -23.9% 10.5%
SUMO Sumo Logic 20.86 8.4x 11.59 3.8x -44.4% -54.9% 10.4%
PAYC Paycom 488.85 29.1x 318.57 16.1x -34.8% -44.9% 10.0%
PATH UiPath 64.55 41.6x 37.95 20.5x -41.2% -50.8% 9.5%
SHOP Shopify 1,549.00 41.7x 656.88 13.8x -57.6% -66.9% 9.3%
PCTY Paylocity 268.92 21.7x 192.41 13.5x -28.5% -37.8% 9.3%
TENB Tenable 44.86 8.8x 45.46 8.2x 1.3% -7.2% 8.5%
NEWR New Relic 79.76 6.8x 64.98 5.0x -18.5% -26.4% 7.9%
PD PagerDuty 42.64 13.1x 31.75 8.7x -25.5% -33.5% 7.9%
AVLR Avalara 181.13 22.3x 93.40 9.8x -48.4% -56.1% 7.7%
BL BlackLine 110.81 15.7x 72.12 9.0x -34.9% -42.3% 7.4%
VEEV Veeva Systems 332.65 28.1x 217.90 16.4x -34.5% -41.7% 7.2%
MIME Mimecast 68.03 7.7x 79.24 8.4x 16.5% 9.5% 7.0%
APPF AppFolio 120.24 11.4x 113.37 10.0x -5.7% -12.5% 6.8%
ZM Zoom 347.50 25.8x 126.96 7.7x -63.5% -70.0% 6.5%
BIGC Bigcommerce 61.02 21.2x 25.32 7.5x -58.5% -64.7% 6.2%
ADBE Adobe 665.99 20.6x 442.56 12.6x -33.5% -38.7% 5.2%
CRM Salesforce 264.97 10.5x 196.84 7.2x -25.7% -30.8% 5.1%
SPT Sprout Social 122.77 36.2x 52.70 13.7x -57.1% -62.0% 5.0%
MNTV Momentive 19.65 6.6x 15.97 5.1x -18.7% -23.5% 4.8%
DOCU DocuSign 303.64 31.6x 110.28 10.0x -63.7% -68.2% 4.6%
BOX Box 25.61 4.4x 25.32 4.1x -1.1% -5.6% 4.5%
WK Workiva 143.93 16.7x 104.00 11.3x -27.7% -32.1% 4.4%
WIX Wix 224.58 9.4x 86.12 3.2x -61.7% -65.8% 4.1%
WDAY Workday 271.37 13.1x 214.47 9.8x -21.0% -25.1% 4.1%
YEXT Yext 13.51 4.3x 7.39 2.2x -45.3% -49.2% 3.9%
DBX Dropbox 31.23 5.9x 23.02 4.2x -26.3% -29.8% 3.5%
PYPL PayPal 288.47 13.5x 103.65 4.4x -64.1% -67.5% 3.5%
QTWO Q2 87.20 10.4x 62.38 7.1x -28.5% -31.6% 3.1%
ESTC Elastic 159.03 18.4x 80.99 8.8x -49.1% -51.9% 2.9%
RNG Ringcentral 256.20 16.2x 146.88 8.9x -42.7% -44.8% 2.1%
COUP Coupa Software 245.57 28.5x 115.97 12.9x -52.8% -54.6% 1.8%
EVBG Everbridge 155.10 17.5x 45.54 5.0x -70.6% -71.6% 0.9%
ZUO Zuora 17.02 5.6x 14.62 4.8x -14.1% -14.9% 0.8%
FSLY Fastly 43.60 14.7x 18.70 6.3x -57.1% -57.5% 0.4%
DOMO Domo 90.18 11.5x 42.20 5.4x -53.2% -52.8% -0.4%
NCNO nCino 62.44 22.5x 42.55 15.5x -31.9% -31.1% -0.7%
SQ Square 271.92 6.7x 97.72 3.7x -64.1% -44.7% -19.4%
TWOU 2U 36.68 2.8x 9.64 1.5x -73.7% -46.0% -27.7%
Average -34.4% -42.3% 7.9%
Median -34.0% -43.4% 7.6%
Min -73.7% -90.4% -27.7%
Max 16.5% 9.5% 37.4%
```