SaaS Valuation Index methodology

Index members

1. US-listed (NYSE, NASDAQ) companies whose main revenue is subscription software.
2. Market cap of $500M or more at the last rebalance.
3. At least 4 reported quarters as a public company.
4. No signed agreement to be acquired: the price of a company under a deal tracks the deal, not the market.
5. Rebalanced once per quarter, 30 days after quarter end. Every addition and removal is logged with its date and reason.

Data

Formulas

• Market cap = share price × shares outstanding.
• Enterprise value (EV) = market cap + total debt − cash and short-term investments.
• TTM revenue = sum of the last 4 reported quarters. Run-rate revenue = latest quarter × 4.
• Headline: median EV / TTM revenue across members, the same measure as the SEG SaaS Index. Also published: 25th and 75th percentiles, medians for members growing above 30%, 15% to 30% and below 15%, and median market cap / run-rate revenue (the SaaS Capital method).
• Members with negative EV or TTM revenue below $50M are shown in the member table but left out of the medians.

Schedule

The index runs at 5 minutes past each hour from 10:05 AM to 4:05 PM Eastern on US trading days, with a close reading at 4:30 PM. Outside market hours the page shows the last close. Each Friday close is saved as a weekly snapshot that other Livmo pages read.

Quality checks

1. If more than 10% of members have no fresh price, the hourly reading is not published and the last good reading stays.
2. If the headline moves more than 10% in one hour, the reading waits for a second fetch before it is published.
3. Each quarter end, the index is compared with the SEG SaaS Index and the SaaS Capital Index, and both gaps are published here.

Private SaaS estimate

Private ARR multiple = −2.43 + 0.19 × public index + 6.21 × growth + 4.38 × NRR, from SaaS Capital's 2024 private valuation model (55 valuation events, minimum $2M ARR, R² 0.361). The public index term uses the market cap / run-rate revenue reading. The estimate never goes below 1.0x. Formula version saascapital-2024-v1. Details on the private estimate page.

Outside figures

• Every figure shows its source link, the period it covers and the sample where the source gives one.
• A figure read on the source's own page links to that page. A figure found only in another site that quotes the source says "as reported by" and links to both.
• The "Last verified" date on a page changes only when a figure on that page changes.
• Not published: asking prices on listing sites, and advisor opinion ranges without data.

Change log

• November 5, 2026: method version 1 published. The hourly index is launching; until it is live, the private estimate uses the SaaS Capital Index.