Life360 (ASX:360) Valuation Check After Wrapped 2025 Launch and New Patent Dispute

Life360 (ASX:360) is back on radars after two very different headlines: the viral rollout of its “Life360 Wrapped 2025” recap feature and a fresh legal challenge aimed at invalidating a GoCodes tracking patent.

See our latest analysis for Life360.

Those headlines land against a backdrop of mixed momentum, with the share price at A$33.04 after a weak recent patch, including a 30 day share price return of minus 9.5 percent, but a powerful longer run record highlighted by a five year total shareholder return of 775.36 percent.

If you are curious which other names might be setting up for the next strong run, this could be a smart moment to scan high growth tech and AI stocks.

With Life360 still growing revenue at double digit rates and trading at a hefty discount to analyst targets, investors face a key question: is this momentum stock still undervalued, or is the market already pricing in its future growth?

Most Popular Narrative: 33.7% Undervalued

With Life360 closing at A$33.04 against a narrative fair value of A$49.81, the story centres on whether rapid scaling can sustain that gap.

Early stage high margin advertising and data or enterprise partnerships (e.g., Place Ads, Uplift, Placer.ai, Hubbell satellite network) are scaling as new revenue streams, leveraging Life360's data advantages and platform ubiquity which, as these mature, have the potential to deliver incremental margin expansion and a meaningful uplift to overall profitability.

Read the complete narrative.

Want to see how double digit revenue growth, rising margins, and a lofty future earnings multiple all fit together into one bold valuation case? The projections behind this fair value are far more aggressive and far more detailed than the headline number suggests. Curious which assumptions have to hold for that upside to materialise, and how sensitive the story is if they do not? Read on to unpack the full narrative and its underlying numbers.

Result: Fair Value of $49.81 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, rising competition from built in device tracking and mounting privacy scrutiny could slow user growth, pressure margins, and test the bullish valuation narrative.

Find out about the key risks to this Life360 narrative.

Another Angle on Valuation

Our SWS DCF model paints a cooler picture, indicating Life360 is trading above its A$29.64 fair value estimate, so potentially overvalued rather than cheap. If cash flows are closer to reality than aggressive growth multiples, is today’s price already baking in the bull case?

Look into how the SWS DCF model arrives at its fair value.

Build Your Own Life360 Narrative

If you see the story differently or prefer to dig into the numbers yourself, you can build a personalised view in minutes: Do it your way.

A good starting point is our analysis highlighting 2 key rewards investors are optimistic about regarding Life360.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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