| Valuation method | Value, $ | Upside, % |
|---|---|---|
| Artificial intelligence (AI) | 34.47 | 46 |
| Intrinsic value (DCF) | 25.15 | 7 |
| Graham-Dodd Method | n/a | |
| Graham Formula | n/a |
OneStream, Inc. (NASDAQ: OS) is a leading provider of corporate performance management (CPM) software solutions, specializing in financial planning, reporting, and analytics. Operating in the competitive Software - Application sector, OneStream serves enterprises seeking unified, cloud-based platforms to streamline financial consolidation, budgeting, and forecasting. The company differentiates itself with a single, extensible solution that eliminates the need for multiple legacy systems, enhancing efficiency and data accuracy. With a market cap of approximately $6.8 billion, OneStream is positioned in the high-growth CPM software market, benefiting from increasing demand for digital transformation in finance. Despite its revenue growth, the company remains unprofitable, reflecting heavy investments in R&D and sales expansion. Its strong cash position ($544M) and manageable debt ($18.6M) provide financial flexibility to scale operations.
OneStream presents a high-risk, high-reward investment opportunity in the rapidly evolving CPM software market. The company’s revenue of $489M (FY 2024) reflects strong demand for its unified financial planning platform, but net losses (-$216M) and negative EPS (-$0.92) highlight ongoing profitability challenges. Positive operating cash flow ($61M) suggests improving operational efficiency, while a high beta (1.85) indicates volatility tied to tech sector sentiment. Investors should weigh its growth potential against competitive pressures from established players like Oracle and Workday. The lack of dividends reinforces its growth-focused strategy, but sustained losses may require further capital raises.
OneStream competes in the crowded CPM software space by offering a unified, AI-enhanced platform that consolidates financial planning, reporting, and analytics. Its key advantage lies in eliminating the need for multiple point solutions, reducing complexity and cost for enterprises. However, it faces intense competition from legacy vendors (e.g., Oracle Hyperion) and cloud-native rivals (e.g., Anaplan). OneStream’s focus on mid-to-large enterprises provides niche differentiation, but its lack of profitability and smaller scale compared to SaaS giants like Workday could limit long-term margins. The company’s R&D investments in AI/ML and integrations (e.g., ERP systems) are critical to maintaining its value proposition. Its direct sales model ensures high-touch customer relationships but may slow scalability compared to low-touch competitors.