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March 14, 2022

Public SaaS companies are a great way to outsource your software needs. They work by providing access to software over the internet, which means you don’t have to worry about installing or maintaining anything on your own servers.

This can be a huge benefit for businesses of all sizes, and there are plenty of public SaaS companies to choose from. However, there are also some risks associated with using them, so it’s important to understand what they are before making a decision.

15 Most Valuable B2B Public SaaS Companies

This article will examine the 15 most valuable B2B SaaS businesses. You can skip the detailed analysis of the outlook for the B2B SaaS sector in 2021 and simply go to the 5 Most Valuable HTML2B SaaS Companies.

Before we dive into our list, let us first understand what it means to own a B2B SaaS business and how the industry has changed.

Software as a Service (B2B SaaS) refers to businesses that offer software solutions to other businesses. Software is needed by corporations for accounting, word processing, and managing customer relationships (CRM), as well as developing and optimizing organizational procedures, surveillance and monitoring. B2B SaaS providers offer cloud-based solutions for enterprises.

They create, update, and render apps from a central hub that is accessible remotely to organizations (their customers) via the cloud, which is made up of SaaS-provided servers. Enterprise companies can subscribe to SaaS companies that specialize in B2B. To access and use these cloud-based solutions, companies subscribe and pay a monthly or yearly subscription fee.

Many industries have been affected by the shift from working in an office environment to working from home almost every night. Remote working is becoming the norm and investing in on-premise systems is no longer an option.

Global Software as a Service Market 2021-2025 report shows that the global Software as a Service market will grow by $99.99 billion in five years (2021-2025). Click To Tweet

This represents a compound annual growth rate of 11% over the forecasted time period. This growth will be driven by the increase in cloud-based solutions demand from small and medium-sized businesses (SMEs). Software as a service (SaaS), Global Market Report 2021:COVID 19 Impact, Recovery to 2030 shows that the global Software as a Service market (SaaS), was valued at $225.6 Billion in 2020 and $272.49 Billion by 2021.

This is a compound annual growth rate of 20.8%. This growth is due to the recovery measures taken by organizations to combat the effects of the coronavirus crises. These included companies shifting their focus away from traditional patterns and practices to embrace new, cloud-based solutions.

SaaS has been a game-changer in the business world. Organizations find cloud-based products attractive because they are easily accessible from anywhere. They just need a web browser to access powerful tools that were once installed on hard drives and storing system resources.

SaaS applications can be updated automatically on the server-side, so there is no need to spend time downloading and installing new updates. All clients have instant access to the latest, bug-free and improved version of the software, provided the developer has updated it on the server.

Cloud-based solutions are preferred by organizations over traditional ones. Cloud-based software is not susceptible to piracy, does not need to be updated client-side, and doesn’t hog memory.

The SaaS industry’s major players include SAP SE (NYSE : SAP), salesforce.com (NYSE : CRM), Adobe Inc., (NASDAQ: ADBE), Microsoft Corporation, (NASDAQ: MSFT), and Oracle Corporation (NYSE : ORCL). Statista.com reports that these five companies accounted for half the SaaS enterprise market share in 2019.

We first looked for cloud-based companies to compile our list. Then, we separated companies that offered solutions to consumers from those that hosted products for businesses.

We then sourced market capitalization information for each company from Yahoo Finance, and ranked them according to their market cap. Market capitalization is a key metric in determining the business’s value. It is what an investor will pay for a company stock.

We now have some insight and can dive into our list of 15 most valuable B2B SaaS businesses:

15. Slack Technologies, Inc. ( , NYSE: WORK).

Market Cap $26.22 Billion

Slack Technologies, Inc. (NYSE WORK) is well-known for its product, Slack. It is a platform that allows internal instant messaging, video conferencing, as well as intelligent productivity bots that automate redundant tasks. Slack Technologies, Inc. (NYSE WORK) reported total revenues up to $902.6million for their fiscal year 2021, a 43% increase year-over-year.

Slack Technologies, Inc. (NYSE WORK) has a market value of $26.22 billion, which is enough to be included in our list of 15 most valuable B2B SaaS businesses.

HubSpot, Inc., (NYSE HUBS), Snowflake Inc., (NYSE NOW), Square, Inc., (NYSE : SQ), SAP SE, (NYSE : SAP), salesforce.com, Inc., (NYSE : CRM), Adobe Inc., (NASDAQ: ADBE), Microsoft Corporation, (NASDAQ: MSFT), and Oracle Corporation (NYSE : ORCL), Slack Technologies, Inc., (NYSE : WORK), is one of the most important SaaS companies worldwide.

 

14. HubSpot, Inc. (NYSE: HUBS)

Market Cap $26.30 billion

HubSpot, Inc. (NYSE HUBS), an American software company, focuses on cloud-based software solutions to inbound marketing, customer support, and sales. HubSpot, Inc. (NYSE HUBS), is proud of its cloud-based marketing automation software. HubSpot, Inc. (NYSE HUBS), was the pioneer in CRM and has since provided many tools for Sales Performance Management, Help Desk Solutions, Online Courses, and Sales Performance Management (SPM). Hubspot CRM and Hubspot Academy are just a few examples of its tools. HubSpot, Inc. (NYSE HUBS), is valued at $26.30 billion in the open market.

ClearBridge Investments mentioned HubSpot, Inc. in its Q1 2021 investor letters (NYSE: HUBS). Here’s what the fund said

HubSpot is a marketing automation software company that helps small businesses to digitally enable their sales, marketing and other related processes. HubSpot’s first marketing product allows customers to publish content to attract customers and nurture leads. However, HubSpot has seen its growth accelerate as it sells a full range of services and products to assist with inbound customer support to convert leads.

 

13. Veeva Systems Inc. ( , NYSE: VEEV).

Market Cap $48.23 Billion

We are pleased to place Veeva Systems Inc. (NYSE : VEEV) at number 13 on our list of the 15 most valued B2B SaaS businesses. This American software company provides cloud-based solutions to companies in the pharmaceutical and life science industries. Veeva Systems Inc. (NYSE : VEEV), is committed to customer success. It has more than 1000 customers, including some of the largest pharmaceutical companies in the world. Veeva Systems Inc. (NYSE VEEV), offers a wide variety of products that include data analytics tools and CRM tools, as well as automation tools. Veeva Systems Inc. (NYSE VEEV) is valued at $48.23 trillion on the open market.

Square, Inc., (NYSE : SQ), Snowflake Inc., (NYSE : SNOW), SAP SE, (NYSE : SAP), salesforce.com, Inc., (NYSE : CRM), Adobe Inc., (NASDAQ: ADBE), Microsoft Corporation, (NASDAQ: MSFT), Oracle Corporation, (NYSE : ORCL), ServiceNow, Inc., (NYSE : NOW), Veeva Systems Inc., (NYSE : VEEV), is one of the most important SaaS company in the world. In its Q4 2020 investor newsletter, Baron Funds mentioned Veeva Systems Inc. (NYSE VEEV). Here’s what the fund said

“Veeva Systems Inc. provides cloud-based software solutions to the life sciences industry. Its shares dipped during the quarter. Despite strong results in the third quarter, management suggested a more cautious outlook for 2021, which could have some negative consequences for its commercial business. The regulatory environment for key end-markets was also uncertain under the new presidential administration. We believe Veeva is well-positioned to take advantage of the ongoing digitalization efforts in the life sciences industry.

 

12. Workday, Inc. (NASDAQ: WDAY)

Market Cap $56.2 billion

Workday, Inc. (NASDAQ : WDAY), an American software company, helps businesses manage their human resources, finances, strategy, data, and more. The company’s products include a variety of tools that are designed to assist in managing processes. Workday, Inc. (NASDAQ : WDAY), claims it stands out because it is free from the traditional ERP model, which is rigidly coded and not as flexible as the “workday Suite”.

Workday Suite offers flexibility and robustness through combining financial management, planning, and data analytics under one roof. Workday, Inc. (NASDAQ : WDAY) is ranked 12th on our list of the 15 most valuable SaaS companies in B2B.

HubSpot, Inc., (NYSE HUBS), Slack Technologies, Inc., (NYSE WORK), Snowflake Inc., (NYSE NOW), Square, Inc., (NYSE : SQ), SAP SE, (NYSE : SAP), salesforce.com, Inc., (NYSE : CRM), Adobe Inc., (NASDAQ : ADBE), Microsoft Corporation, (NASDAQ : MSFT), Oracle Corporation, (NYSE : ORCL), Atlassian Corporation Plc, NASDAQ : TEAM), Workday, Inc. ClearBridge Investments mentioned Workday, Inc. (NASDAQ) in its Q1 2021 investor letters. Here’s what ClearBridge Investments had to say about Workday, Inc., in its Q1-2021 investor letter.

“We have been strategically adding growth exposure to the new issue market.” We took advantage the decline in disruptors, which make up a large part of the portfolio, to take a position in enterprise-software maker Workday.”

 

11. Atlassian Corporation Plc ( , NASDAQ: TEAM).

Market Cap $65.17 Billion

Atlassian Corporation Plc (NASDAQ : TEAM), an Australian software company, makes it possible for businesses and organizations to efficiently and effectively manage projects, facilitate intra-organization communications, protect data, and ensure that businesses reach their full potential.

Atlassian Corporation Plc (NASDAQ : TEAM), among its many cloud products, offers Jira Software and Jira Service Management. Confluence, Bitbucket and Trello are just a few of the offerings. Atlassian Corporation Plc, NASDAQ: TEAM, just launched Jira Work Management. It is expanding its tool suite to add value. Atlassian Corporation Plc (NASDAQ : TEAM) boasts over 150,000 satisfied clients and a market capitalization in excess of $65.17 billion.

The Q2 2021 investor letters of Lakehouse Capital included the mention of Atlassian Corporation Plc (NASDAQ : TEAM). Here’s what the fund said:

Atlassian is a situation where we don’t have much to offer. The Fund’s co-founder-led business is strong and has contributed positively to its performance throughout its life. The Fund realized a +209% total returns on the position, but the position had a minimal impact on fiscal 2021 performance. We exited the small position in October.

 

10. Twilio Inc. (NYSE: TWLO)

Market Cap $65.70 Billion

Twilio Inc. (NYSE : TWLO), an American cloud computing company, offers web application programming interfaces that allow businesses to communicate with both internal and external stakeholders. Twilio Inc. (NYSE : TWLO), offers software that facilitates multichannel communication. This has the added effect to enhance customer experience and, in turn, improves customer support. Twilio Inc. (NYSE : TWLO), a provider of communication solutions, has been trusted by over 172,000 businesses. Twilio Inc. (NYSE : TWLO) has a market capitalization in excess of $65.70billion and made it to our top 10 list of the 15 most valuable SaaS B2B companies.

Slack Technologies, Inc., (NYSE HUBS), Snowflake Inc., (NYSE WORK), Square, Inc., (NYSE : SQ), SAP SE, (NYSE : SAP), salesforce.com, Inc., (NYSE : CRM), Adobe Inc., (NASDAQ: ADBE), Microsoft Corporation, (NASDAQ: MSFT), Oracle Corporation (NYSE : ORCL), Twilio Inc., (NYSE : TWLO), is one of the most important SaaS companies worldwide. Lakehouse Capital’s Q2 2021 investor letters mentioned Twilio Inc. Here’s what the fund said:

“The Fund had 20 positions at the end of June, and exited four of them during the year (including Twilio). We sold almost all of the companies we exited on the basis that their valuations were stretched beyond their norms and to levels at which the return profile didn’t offer the asymmetric upside that drove us to invest. We don’t like selling on valuation because great growth companies are rare and letting winners rule is an important part of a winning growth strategy. However, we aren’t gluttons for punishment and in each case we redeployed capital toward other high-quality growth businesses with less demanding valuations.

 

9. Snowflake Inc. ( , NYSE: SNOW).

Market Cap $74.26 Billion

Snowflake Inc. (NYSE : SNOW) provides cloud-based data warehousing services to enterprises. This includes data storage and analytics. Snowflake Inc. (NYSE : SNOW), a major player within the data-warehousing market, was able to create and improve a cloud-based storage and data analytics service that allowed corporations such as Office Depot, Pizza Hut and Rakuten to make significant savings in terms of human resources and time, as well as operational costs. Snowflake Inc. (NYSE : SNOW), has more than 3500 customers and a market capitalization in excess of $74.26 billion.

ServiceNow, Inc., Zoom Video Communications, Inc., (NASDAQ: ZM), Square, Inc., (NYSE; SQ), SAP SE, (NYSE : SAP), salesforce.com, Inc., (NYSE : CRM), Adobe Inc., (NASDAQ : ADBE), Microsoft Corporation, (NASDAQ : MSFT), and Oracle Corporation (NYSE : ORCL), Snowflake Inc., (NYSE : SNOW), is one of the most important SaaS companies worldwide. RiverPark Funds mentioned Snowflake Inc. (NYSE : SNOW) in its Q1 2021 investor letters. Here’s what RiverPark Large Growth Fund had to say about Snowflake Inc., in its Q1-2021 investor letter

8. Zoom Video Communications, Inc. ( , NASDAQ: ZM).

Market Cap $106.65 Billion

Zoom Video Communications, Inc. (NASDAQ : ZM) is number 8. We are now in the top 10 on our list of 15 most valuable B2B SaaS businesses. Zoom Video Communications, Inc. (NASDAQ : ZM) made sure that no one felt any different. They provided a tool for consumers and corporations, which allowed everyone to carry on their normal work routines as in pre-pandemic times.

Zoom Video Communications, Inc. (NASDAQ : ZM), made it possible for everything else to continue as before by providing a peer-to-peer cloud-based platform for video telephony, chat, and business telephone system. Zoom’s most trusted customers include ServiceNow, Inc., Atlassian Corporation Plc, Veeva Systems Inc. (NYSE VEEV), and many others.

Zoom Video Communications, Inc. (NASDAQ : ZM), generated revenues up to $2.7 Billion in 2021 and has a market capitalization exceeding $106.65 Billion.

 

7. Square, Inc. (NYSE: SQ)

Market Cap $108.15 billion

Square, Inc. (NYSE, SQ) is an American company that provides merchant services to businesses of all sizes. Square, Inc. (NYSE : SQ) offers innovative solutions for digital payment that enable businesses to manage their online stores. Square, Inc. (NYSE): SQ boasts a $108.15 billion market capitalization, which places it at the 7 th spot in our list.

ServiceNow, Inc., Snowflake Inc., (NYSE NOW: SNOW), SAP SE, (NYSE : SAP), salesforce.com, Inc., (NYSE : CRM), Adobe Inc., (NASDAQ: ADBE), Microsoft Corporation, (NASDAQ: MSFT), Oracle Corporation (NYSE : ORCL), Square, Inc., (NYSE : SQ), is one of the most important SaaS companies worldwide.

 

6. ServiceNow, Inc. (NYSE: NOW)

Market Cap $109.85 Billion

ServiceNow, Inc. (NYSE NOW) provides cloud-based automation solutions to help enterprises automate repetitive and tedious tasks in order to improve organizational performance. ServiceNow, Inc. (NYSE NOW) allows digitization of intra-company workflows, which can result in cost savings and operational efficiency.

Their products cover a wide range of organizational operations, including IT Business Management, IT Operations Management, Dev Ops and Security Operations. ServiceNow, Inc. (NYSE NOW) has over 6000 customers, with 80% of them coming from the Fortune 500. ServiceNow, Inc.’s market capitalization (NYSE: NOW), is $109.85 billion, making it one of our 15 most valuable B2B SaaS businesses.

Square, Inc., Snowflake Inc., (NYSE : SNOW), SAP SE, (NYSE : SAP), salesforce.com, Inc., (NYSE : CRM), Adobe Inc., (NASDAQ: ADBE), Microsoft Corporation, (NASDAQ: MSFT), Oracle Corporation (NYSE : ORCL), ServiceNow, Inc., (NYSE : NOW), is one of the most important SaaS companies worldwide. In its Q1 2021 investor letters, Palm Capital mentioned ServiceNow, Inc. Here’s what the fund said:

“ServiceNow offers software solutions that can automate and structure large business processes. The company was founded in 2004 to help businesses manage their IT services. ServiceNow’s offering is different from other solutions on the market. It was built using modern architecture, which was modular, flexible, and user-friendly. It also left incumbents, such as BMC and IBM, playing catch-up.

As the company became a market leader, it saw an opportunity to expand its offering to include IT Operations Management. This is the management and control of the entire IT infrastructure of a business. Customers began to ask for the company’s expansion into other business workflows, such as HR Management and Customer Services. This was due to its success in improving productivity and user experiences in IT.

As the company became a market leader, it saw an opportunity to expand its offering to include IT Operations Management. This is the management and control of the entire IT infrastructure of a business. Customers began to ask for the company’s expansion into other business workflows, such as HR Management and Customer Services.

This was due to its success in improving productivity and user experiences in IT.

Conclusion

Public SaaS companies are a great way to outsource your software needs.

Public SaaS companies work by providing access to software over the internet, which means you don’t have to worry about installing or maintaining anything on your own servers. Click To Tweet

This can be a huge benefit for businesses of all sizes, and there are plenty of public SaaS companies to choose from. However, there are also some risks associated with using them, so it’s important to understand what they are before making a decision.

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