Electric
-31%
est. 2Y upside i
Rank
#2956
Sector
IT Management Software
Est. Liquidity
~2Y
Data Quality
Data: LowDespite a large TAM and moderate competitive moat, Electric's equity is unattractive at the current $1B valuation.
Last updated: July 19, 2026
Bull case: Electric achieves $108M ARR by year 2 with sustained growth and IPO enthusiasm, supporting a 13x multiple (similar to current) driven by AI IT management category leadership. Exit value ~$1.4B, net of dilution ~26% upside.
Base case: Revenue reaches $108M but growth decelerates, multiple converges to 8x (comp median). Exit value ~$867M, after dilution ~28% loss.
Bear case: Growth disappoints, multiple compresses to 3x due to competitive pressure and down market. Exit value ~$325M, after dilution ~82% loss.
Preference Stack Risk
highFunding Intensity
21%Total funding of $211M implies a 21% liquidation preference overhang versus the $1B valuation.
Dilution Risk
highGiven $75.7M ARR and 466 employees, the company likely burns cash; a new round within 2 years could dilute common by 15-25%.
Secondary Liquidity
noneNo secondary activity detected; employee equity likely illiquid until a liquidity event.
Questions to Ask at the Interview
Strategic questions based on Electric's data — designed to show you've done your homework.
- 1
“How does Electric plan to compete as ServiceNow expands its AI capabilities for SMBs?”
- 2
“What is the company's net dollar retention and churn rate?”
- 3
“What is the expected timeline to exit and likelihood of secondary market liquidity for employees?”
Community
Valuation Sentiment
Our model estimates -31% upside. What do you think?
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Disclaimer: This analysis is AI-generated and does not constitute financial or career advice. Always conduct your own due diligence.