Glossary / Scenario analysis

Bull Case

A bull case is the upside version of a stock thesis. It describes what could go right, why those improvements are plausible, and how they could affect revenue, earnings, cash flow, valuation, or investor sentiment.

What belongs in a bull case

A useful bull case is specific. It can include stronger demand, better pricing, margin expansion, lower costs, faster product adoption, a cleaner balance sheet, improved guidance, or a catalyst that changes how the market values the company.

What does not belong

A bull case is not simply a positive mood. "The stock can go up" is not a thesis. The bull case should explain which assumptions need to change and which evidence would confirm that change.

Example structure

• Driver: revenue growth accelerates because demand broadens beyond one customer group.
• Evidence to watch: bookings, backlog, guidance, retention, unit economics, or management commentary.
• Valuation impact: higher expected earnings or a higher multiple if confidence improves.