In fact, some of the smaller or less traditional companies we’ve seen debut in recent quarters have valued over $ 1 billion. Which is noteworthy when you consider that many tech companies have gone public recently. That means Backblaze is going public as a non-unicorn. In particular, the company’s fully watered-down valuation is way higher, with Renaissance Capital announcing that the valuation of Backblaze at $ 16 per share, including shares earned when they weren’t already exercised through options or the like, was 644 million US dollars.Ī quick extrapolation shows that Backblaze’s IPO at the high end of its price range could value the storage company at $ 684.3 million. So, share price volatility may end up being par for the course./ A filing that states the company expects to price its IPO between $ 15 and $ 17 per share.Īt its IPO price range and 28,545,893 shares expected to be outstanding after the IPO, Backblaze is worth $ 428.2 million to $ 485.3 million. But it's highly competitive, and up against some of the biggest and best players in the tech space. But there's nothing stopping those involved in cloud computing from pivoting to blockchain.įor now, sector sentiment still appears to be bullish on data and cybersecurity offerings therefore, the case for investing in a company like Backblaze makes sense. This indicates Backblaze stock could be considered expensive at its current share price.Īnd as for blockchain and the metaverse disrupting the cloud computing industry? That may well come to pass if decentralization proves to be more secure than centralized offerings.

Meanwhile, its price-to-sales ratio is 12, which is very high, and 5.7x the tech industry benchmark. Q3 sales are projected to come in around $17 million. Revenues rose in the first six months of this year, but operating losses also widened, rising to $6.5 million during this period. This rose to $54 million in 2020, but operating profits in 2019 turned to a $3.7 million loss last year. In 2019, Backblaze achieved close to $41 million in sales. But is that the case? Let's take a closer look at the numbers. With its impressive 60% share price rise in recent days, Backblaze gives the impression of a great investment. Its rivals include Amazon (NASDAQ: AMZN), Azure from Microsoft (NASDAQ: MSFT) and Google Cloud from Alphabet (NASDAQ: GOOG) (NASDAQ: GOOGL). This refers to securely restoring data using a USB drive (USB Restore) and for migrating large data sets to the Backblaze platform using its proprietary Fireball device.īackblaze competes directly with big tech players selling subscription cloud-based computer storage and backup services. The final 1% of its custom is physical media.

It's provided as a consumption-based Infrastructure-as-a-Service (IaaS) and serves use cases including backups, multi-cloud, application development, and ransomware protection.

This B2 Cloud storage is offered on a pay-as-you-go basis that can be dialed up or down as needed. Its subscription-based offerings, such as file backup, account for 72.4% of its business, while consumption-based arrangements, such as B2 services, account for 26.5% of its business.

Indeed, going by its reviews, Backblaze customers generally seem very happy with the company's services. The company sports straightforward pricing and transparent communication, leading it to become a trusted provider. These span over 175 countries, protecting business data on approximately 2 exabytes, or 2 trillion megabytes, of data storage under management.īackblaze is targeting mid-market businesses, which it believes is an unmet segment ripe for the taking. The company's IPO prospectus revealed it to have over 480,000 customers.

Backblaze ipo worth it