SaaS valuations are becoming more disciplined, and PSG is where the signal starts to stand out.

PSG (Price/Sales divided by growth) helps answer a simple question:

how much are you paying for each unit of growth?

Most efficient names (low PSG)

You are paying relatively little for growth:

$ZETA 0.1x

$MNDY 0.1x

$TOST 0.1x

Fair value range (0.2–0.4 PSG)

More balanced positioning:

$NOW $SNOW $MDB $DDOG $ZS

Premium (>0.5 PSG)

Higher expectations embedded in price:

$CRWD 0.7x

$PLTR 0.8x

$NET 0.9x

In many cases, narrative and positioning are driving valuation more than pure growth efficiency.

PSG highlights where growth is still underpriced and where expectations may already be stretched.