FatPipe Networks (FATN) valuation at a glance
FatPipe Networks (FATN) trades below the fair value estimate shown here. At $6.05 versus a $8.80 estimate, that is a 45% upside.
- Price
- $6.05
- Fair value estimate
- $8.80
- Upside
- +45%
- Forward P/E
- 26.9×
- Market cap
- $85M
- P/S (TTM)
- 4.4×
CompaniesFATN
FATN
FatPipe Networks
TechnologySD-WANSASEInsider-Owned
Overview
$6.05+1.7%
Market Cap
$85M
SEC filings + yfinance
P/E (TTM)
17.3×
SEC filings + yfinance
Rev Growth YoY
17.9%
+17.9%SEC filings + yfinance
Gross Margin
91.0%
SEC filings + yfinance
FCF Yield
-0.4%
Calculated from SEC filings + yfinance
Upside to FV
+45.5%
consensus
Conviction
3/5Real SD-WAN/SASE software, 91% gross margin, +90% revenue and 54.9% insider ownership, but no longer cheap at 4.4× sales after a 4.6× run off the low.
Research Depth
ScreeningDeep ResearchFull Model
Data as of 2026-06-03
Quality Snowflake
Overall 46/100
Value2/5
Future2/3
Past3/4
Health2/4
Dividend0/1
Each axis scores the checks for which data is available (filled = pass, hollow = no data). Computed from the sourced metrics on this page, not a third-party rating.
Thesis
CORRECTED 2 September 2026. This page published revenue growth of 90.4%, repeated three times. SEC XBRL for CIK 0001993400 reports revenue of $19,208,294 for the year ended 31 March 2026 against $16,288,881 the year before, which is 17.9%. The operating margin of 30.2% was likewise wrong, being $3,589,370 on $19,208,294, or 18.7%. Both matched figures from the fiscal 2024 filing rather than the current one. They are corrected below. ORIGINAL TEXT FOLLOWS. FatPipe sells SD-WAN/SASE networking software. Validated figures show real quality, 91% gross margin, 25.9% net margin, +17.9% revenue growth and 54.9% insider ownership, but after a run from a $1.31 low to ~$6, it is no longer statistically cheap: 4.4× sales, ~27× forward P/E, and free cash flow was slightly negative on the latest TTM. Phase 1 deep-dive pending.
Bull Case
Quality91% gross margin, 25.9% net margin, +17.9% revenue growth; 54.9% insider ownership aligns management.
Balance SheetCurrent ratio 3.85 and minimal net debt; analyst mean target $8.80.
Bear Case
ValuationNo longer cheap: 4.4× sales and ~27× forward P/E after a ~4.6× run off the $1.31 low.
Cash FlowTTM free cash flow slightly negative (−$0.35M); growth is not yet self-funding.
Liquidity~14M shares / ~6M float, extreme illiquidity; 2.6% institutional ownership.
Key Metrics
Market Cap
$85M
SEC filings + yfinance
Enterprise Value
$85M
Calculated from SEC filings + yfinance
Revenue (TTM)
$19M
SEC filings + yfinance
P/E (TTM)
17.3×
SEC filings + yfinance
Forward P/E
26.9×
consensus
P/S (TTM)
4.4×
SEC filings + yfinance
P/B
3.4×
SEC filings + yfinance
EV/EBITDA
20.4×
Calculated from SEC filings + yfinance
PEG
–
Calculated from SEC filings + yfinance
Revenue Growth
17.9%
SEC filings + yfinance
Gross Margin
91.0%
SEC filings + yfinance
Operating Margin
18.7%
SEC filings + yfinance
Net Margin
25.9%
SEC filings + yfinance
Free Cash Flow
$-350.0K
SEC filings + yfinance
FCF Yield
-0.4%
Calculated from SEC filings + yfinance
Debt / Equity
0.2×
SEC filings + yfinance
Current Ratio
3.9×
SEC filings + yfinance
Short Interest
1.2%
SEC filings + yfinance
Institutional Own.
2.6%
SEC filings + yfinance
Insider Own.
54.9%
SEC filings + yfinance
Shares Out.
14.0M
SEC filings + yfinance
Float
6.0M
SEC filings + yfinance
Valuation
Price vs Fair Value
Bear$6.40
Base$8.80
Bull$12.00
Now $6.05
Bear Case
$6.40
Analyst low 12-month target (3 analysts)
Base Case
$8.80
Analyst mean 12-month target (3 analysts)
Bull Case
$12.00
Analyst high 12-month target (3 analysts)
Cash-Flow Snapshot
FCF (TTM)
-$348K
FCF Yield
-0.4%
Balance Sheet
$493K net debt
Rev CAGR
7%
Free cash flow and balance sheet from SEC filings + yfinance. A full multi-scenario DCF is built at the deep-research stage; the fair-value range above is the working estimate until then.
Historical Multiples
| Year | P/E | P/S | EV/EBITDA |
|---|---|---|---|
| FY23 | 61.3× | 11.3× | 47.0× |
| FY24 | 40.9× | 10.0× | 27.3× |
| FY25 | 90.7× | 11.0× | 43.7× |
| FY26 | 6.9× | 1.8× | 8.0× |
| TTM · | 16.9× | 4.2× | 20.4× |
Current multiple highlighted vs trailing history.
Peer Comparison
| Ticker | Mkt Cap | P/E | P/S | EV/EBITDA | Rev Growth | Gross Mgn | Net Mgn |
|---|---|---|---|---|---|---|---|
| FATN | $80M | 16.9× | 4.2× | 20.4× | +90.0% | 91.0% | 26.0% |
| EXTR | $4.14B | 263.9× | 3.3× | 44.4× | +11.0% | 61.0% | 1.0% |
| CIEN | $65.60B | 154.0× | 11.8× | 84.0× | +40.0% | 43.0% | 8.0% |
| NTGR | $658M | – | 0.9× | – | -2.0% | 39.0% | -4.0% |
Financials
| Line Item | FY24 | FY25 | FY26 |
|---|---|---|---|
| Total Revenue | 17.9 | 16.3 | 19.2 |
| Cost of Revenue | 1.1 | 1.1 | 1.7 |
| Gross Profit | 16.8 | 15.2 | 17.5 |
| Operating Income | 5.6 | 3.5 | 3.6 |
| Net Income | 4.4 | 2.0 | 5.0 |
| Diluted EPS | 0.35 | 0.15 | 0.35 |
| Line Item | FY24 | FY25 | FY26 |
|---|---|---|---|
| Cash & Equivalents | 1.1 | 2.9 | – |
| Total Assets | 21.4 | 28.3 | 34.5 |
| Total Liabilities | 7.4 | 12.4 | 9.3 |
| Shareholders' Equity | 13.9 | 15.9 | 25.2 |
| Line Item | FY24 | FY25 | FY26 |
|---|---|---|---|
| Operating Cash Flow | (0.4) | (0.5) | (0.8) |
| Capital Expenditure | 0.0 | 0.0 | 0.1 |
Figures from FATN's SEC 10-K filed 2026-05-18, normalized from XBRL company facts (us-gaap). USD millions; EPS per share. Annual periods. Source: 10-K filed 2026-05-18 ↗
Catalysts
Q4 FY26
Earnings
Q4 FY2026 earnings
Watch whether 90%+ revenue growth and MRR momentum continue and FCF turns positive.
Risks
| Risk | Category | Severity | Probability | Impact on Thesis |
|---|---|---|---|---|
| Rich valuation after a 4.6× run | Market/Macro | Medium | Medium | 4.4× sales and ~27× forward P/E leave little margin of safety. |
| Extreme illiquidity / low float | Market/Macro | Medium | High | ~6M float; thin trading amplifies both upside and drawdowns. |
| Negative free cash flow | Execution | Low | Medium | Growth not yet self-funding on a TTM basis. |
Technical Snapshot
52-Week Range
$1.31$6.05$10.90
RSI (14)
52
neutral
50-Day MA
$6.20
-2.4%below
200-Day MA
$4.50
+34.4%above
Avg Vol (30d)
0.2M
0%vs average
Support Levels
$4.50$1.31
Resistance Levels
$8.80$10.90
Technical inputs: SEC filings + yfinance. See the record-specific source notes for measurement basis.
Ownership & Insider Activity
Institutional Holders
| Institution | Shares | % Held | Chg QoQ | Reported |
|---|---|---|---|---|
| Grandeur Peak Global Advisors, LLC | 24K | 0.17% | flat | 2026-03-31 |
| Blackrock Inc. | 22K | 0.15% | +49.5% | 2026-03-31 |
| UBS Group AG | 1K | 0.01% | -30.4% | 2026-03-31 |
| Osaic Holdings Inc. | 1K | 0.01% | flat | 2026-03-31 |
| Citigroup Inc. | 1 | 0.00% | +100% | 2026-03-31 |
| Wells Fargo & Company | 10 | 0.00% | flat | 2026-03-31 |
| Royal Bank of Canada | 87 | 0.00% | +16% | 2026-03-31 |
Insider Activity
Insiders own ~54.9%; institutions only ~2.6%. Short interest ~1.2%. Float ~6M shares.
| Name | Title | Action | Shares | Price | Date | Value |
|---|---|---|---|---|---|---|
| Bhaskar Ragula Ph.D. | Director and Beneficial Owner of more than 10% of a Class of Security | Buy | 20K | $1.45 | 2026-03-03 | $29K |
| Datta Sanchaita | Director and Beneficial Owner of more than 10% of a Class of Security | Buy | 4K | $2.17 | 2025-01-15 | $10K |
Additional issuer disclosures: SEC EDGAR company filings. Availability and filing forms vary by issuer.
Peer Comparison
| Ticker | Mkt Cap | P/E | P/S | EV/EBITDA | Rev Growth | Gross Mgn | Net Mgn |
|---|---|---|---|---|---|---|---|
| FATN | $80M | 16.9× | 4.2× | 20.4× | +90.0% | 91.0% | 26.0% |
| EXTR | $4.14B | 263.9× | 3.3× | 44.4× | +11.0% | 61.0% | 1.0% |
| CIEN | $65.60B | 154.0× | 11.8× | 84.0× | +40.0% | 43.0% | 8.0% |
| NTGR | $658M | – | 0.9× | – | -2.0% | 39.0% | -4.0% |
Recognizable sector comparables. Source basis: SEC filings + yfinance; lowest multiple in each column highlighted. Loss-making peers show no P/E.
Research Notes
2026-06-03Internal
Quality but no longer cheap
Real SD-WAN/SASE software, insider-aligned (54.9%), 91% gross margin. Validated data corrects earlier figures: revenue +90%, but the stock now trades 4.4× sales after a 4.6× run; FCF slightly negative. Low float is the main caveat.
Sources
FatPipe Networks valuation questions
Is FatPipe Networks (FATN) stock undervalued?
Against the fair value estimate shown on this page, FatPipe Networks trades below: $6.05 today versus a $8.80 estimate, about +45%. The methodology and per-scenario sources are set out in the Valuation section. Treat it as research, not advice, and do your own homework.
What is FatPipe Networks's fair value?
The fair value estimate shown for FATN is $8.80. Its valuation scenarios span bear $6.40, base $8.80, bull $12.00. See the Valuation section for the basis of each.
What is FatPipe Networks's forward P/E ratio?
FatPipe Networks (FATN) trades at a forward P/E of 26.9×, and 4.4× trailing sales.
What is FatPipe Networks's market cap?
FatPipe Networks (FATN) has a market capitalization (its market value, often searched as "net worth") of $85M, and an enterprise value of $85M.
What is the bull and bear case for FATN?
Valuation scenarios: bull $12.00, base $8.80, bear $6.40. Each reflects a distinct set of assumptions; the drivers and sources are detailed in the Valuation section above.