Investment IdeasMy Portfolio

Automation Anywhere

Robotic Process Automation

PRE-IPOmedium risk

Cumulative funding in 2018-2019

Company income
$550 mln
$840 mln
Current price
$30
Min Amount
$10
Earliest start
18 Mar 21:00
Fee
Enter 3.50%Leave 0.50%Success 20%

Invest in Automation Anywhere

Investment Idea Details
About the company

Automation Anywhere provides an intelligent automation platform that enables you to create your own software bots to automate any business process. Automation Anywhere service allows businesses to spend less time and resources on routine tasks and redirect high-value human capital to core activities.

Automation Anywhere, a Silicon Valley-based company, was founded in 2003. Over 2017-2019 Automation Anywhere saw a sevenfold increase in customer base, from 500 to 3500. The company works largely with large and medium-sized businesses in finance, insurance, healthcare, technology, manufacturing, telecommunications and logistics. It counts a number of high-profile companies as clients: Anheuser-Busch, Dell, Qualcomm, Accenture, Boston Scientific, Comcast, Cisco, Coca Cola Japan, Cognizant, Ernst & Young, KPMG, LinkedIn, PwC, Siemens, VW.

Market Opportunities

The global robotic process automation market size is expected to reach USD 25.66 billion by 2027, according to a new report by Grand View Research, expanding at a CAGR of 40.6% over the forecast period. 50% of U.S. healthcare providers will invest in robotic process automation (RPA) in the next three years, according to Gartner.

Wikibon forecasts a market valuation of around $75 billion a year by 2025, suggesting the RPA market is actually more likely to be undervalued at this time.

Risks

Long-term activity related risk. Automation Anywhere has many competitors. UiPath (market leader), Blue Prism, Softomotive (acquired by Microsoft) are seen as the company’s biggest rivals. Competitors may stunt the company’s development in the future.

The market may be overvalued. The RPA market is comparably young – there is a chance that analysts and venture capitalists are overestimating the growth potential of this industry.

Automation Anywhere hasn’t disclosed its financial performance. It is unknown if the company is currently profitable and if there’s any tendency toward profitability.

Financials and Valuation

Automation Anywhere has secured a total of $840 million in funding from Softbank, Salesforce Ventures (lead investor), Goldman Sachs, Workday Ventures, New Enterprise Ventures. Its latest funding in November 2019 brought the company’s valuation to $6.8 billion, a single share is worth $16.61.

Automation Anywhere revenue grew from $74 million to $108.4 million, a growth clip of 46.5%, good for second place and 12.8 percent market share, Gartner points out. The number of customers doubles on a year-to-year basis.

The latest available public data on the company’s revenue is for 2018. Using Silicon Angle’s data, we assume that in 2019 Automation Anywhere’s revenue was $250 million and will reach $500 million by the end of 2020. In a year, the company may generate $700-900 million in revenue. Public market capitalization is $15-25 bln. The risk-reward ratio is 1/4.

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Publication
25 Sep
Minimum Amount
1 share
2. Buying shares

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Shares Outstanding
Limited
3. Public Offering

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Public Offering Date
Pending
Estimated Gains
+150%
4. Taking profit

After the Lock-up period is over, the investment in pre-IPO or OTC will be automatically closed, and generated profits are credited to your account less the applicable UT fees. We offer an opportunity for investors with over $100,000 invested in a specific idea to search for a counterpart in the OTC market individually and to take profits before the company goes public and thereby exiting the trade prior to the Lock-up period expiration.

Exit
̴ 2021
Early Exit

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For an investor the above means that the pre-IPO or OTC investment may be exited after paying a part of its value, usually around 15% which is caused by highly-priced instruments used to close the position. To do so, you should press the respective button in your members area as soon as it becomes active.

The exiting process is similar to making a new investment. You submit a request, we execute it within 1 business day, and your investment is closed at the current exchange price.

Fees

ENTRY FEE

3.5% of the share purchase amount. The fee is charged at confirmation of your investment bid.

EXIT FEE

0.5% of the share sell amount after the trade. The fee is charged at the investment exit.

SUCCESS FEE

20% of the profit gain. The fee is charged only if the trade is profitable at the time of exiting.

EARLY EXIT FEE

Usually a 15% fee is charged subject to the actual situation at the exchange. The fee is calculated individually for each investment.

What Are the Benefits of Investing with United Traders?

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HIGH PROFITABILITY

Venture investing is very risky as they involve new or growing companies, and multifold increase in capitalization is expected. We prioritize companies at the pre-IPO stage as they already demonstrate strong financial indicators and plan to go public soon. This approach allows limiting hyper-risks related to insolvency of new companies and substantially increasing profits as compared to investors who buy shares through a subscription just before the IPO.

LOW ENTRY THRESHOLD

To buy the OTC stocks, one would need millions of dollars. We gathered a pool of traders and investors allowing everyone interested to join similar transactions with as much as $10.

Risks

United Traders is experienced in minimizing risks but a future investor should be aware of all risk types:

  • Illiquidity. There is a possibility that early exit from this investment will take more than 1 month.
  • Asymmetric information. Management and current investors have access to more internal information about the company than other market participants.
  • Time uncertainty. There is no information regarding next financing round or exit strategy timeframe (IPO or M&A).
  • Share dilution. The issue of additional shares by a company may reduce the value of shares of existing investors.

Invest in Automation Anywhere

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