Acquisition PotentialThe company has significant potential upside in an acquisition scenario as it trades at only 1.1x CY25E EV/revenue and private equity takeouts in this space have ranged from 3.7x to 9.6x.
Business Model ImprovementsThe company is shifting to a consumption model, which now represents more than 30% of ARR, up from 25% last quarter, with gross retention of 96% and net retention of 115%.
Strategic PartnershipsDomo has made engineering changes that allow it to partner much more effectively with cloud platforms and data clouds, such as Snowflake and Databricks.