Our $9 target price uses a “discounted EV” exercise to calculate intrinsic value based on our forecast operating profile of the business 4-5 years from now. We apply a 2.3x multiple on FY27E revenues of ~$316M, equating the future EV to $728M. We calculate future equity value per share using our future estimated cash, debt and share count assumptions, and discount to one year from today. Our target price equates to 2.0x EV/'26E revenue. This represents 0.1x present EV/FY2026E Gross Profit/Growth.

We rate WEAV High Risk because of the company’s recent IPO and the shares’ limited trading history. 
Downside risks include:
(1) New customer location additions fail to recover meaningfully post-COVID, weighing on future revenue growth. 
(2) Churn increases in an economic downturn, pressuring customer location count and revenue growth. 
(3) Gross margin falls below what we estimate due to higher telco fees and hardware costs. 
Upside risks include:
(1) Expansion into new verticals significantly accelerates new customer location additions, raising future revenue growth beyond what we model. 
(2) Payments revenue may meaningfully increase average customer location revenue and net retention rate, accelerating future revenue growth. 
(3) The company is able to drive scale efficiencies and increase gross and operating margins higher than what we model.
If the impact from any of these factors proves to be greater than we anticipate, the stock could have difficulty achieving our target price.