"You can pay a multiple of sales if it's profitable and growing fast. I think what WiseTech shows is the valuation is what enables it to raise money," Ms Stevenson-Yang said.

"As that collapses you’re going to find the supposed growth collapses."

Ms Stevenson-Yang on Monday released her second report into WiseTech, The Closer You Look the Uglier It Gets, which forced the company to enter a trading halt for the second time in a week. It entered a halt last Thursday after JCap's first report was released.

Monday morning was the first time the stock had been traded on the exchange since JCap's first report. After the market opened, WiseTech's shares dropped 12.33 per cent in one hour before the company entered its second trading halt after the second report was released.

The share price fall came amid a poor day's trade on the ASX for tech stocks, with all the WAAAX stocks trading down on Monday, although WiseTech was hardest hit.

In her Monday report, Ms Stevenson-Yang presented the results from a third-party survey she had commissioned into WiseTech customer satisfaction.

"I wanted to make sure that the research was scrupulously fair so I commissioned a third-party company to do these surveys of featured customers on their website," Ms Stevenson-Yang said.


Half of surveyed customers say WiseTech is 'crap'

"We managed to get 13 of them [to respond to the survey] and 50 per cent of them said 'it's crap', and these are the featured customers."

Further, 25 per cent of the surveyed customers said they were looking to switch service provider.

JCap also outlined findings from its interviews with 18 former employees and competitors, painting an overall picture of a company trying to maintain a facade of high growth despite widespread customer dissatisfaction and failed business acquisitions.

The report alleged that some of the companies WiseTech had acquired, namely Zsoft in China and Compu-Clearing in South Africa, were an "utter failure" and a "disaster" in their home countries. It also said it had overpaid for acquisitions like Containerchain and Prolink.

After acquisitions are completed, WiseTech fails to invest in the companies and takes years to integrate them with the WiseTech platform, the report said.

Based on JCap's interviews with 14 executives of acquired businesses, the integration process is supposedly slow or non-existent and WiseTech's management structure creates bottlenecks that are hard to crack.

Frantic effort to look like a fast-growing business


"Our interviews suggest that, contrary to WiseTech's public narrative, it is harming the companies it acquires by under-investing and jacking up prices on legacy platforms to force clients to move to ... CargoWise One," the report said.

"WiseTech's acquisition spree looks like a frantic effort to maintain the narrative that this is a fast-growing technology business."

Ms Stevenson-Yang called on the company to restate its financials and "give better accounting".

"It’s the most irritating accounting exercise that we’ve been through because it’s just so hard to find comparable numbers," said Ms Stevenson-Yang.

The first JCap report alleged WiseTech had used an audit loophole to inflate its revenue, disguise the amount of organic versus acquired revenue and orchestrate a "stock promote". The company and two analysts have since accused the firm of miscalculations.

In its statement to the ASX on Friday, WiseTech denied it had inflated revenues and rejected entirely the allegations of financial impropriety.

"We would ask the relevant regulators and government, not just for ourselves but for the many listed Australian corporations regularly subjected to similar attacks, to consider the complex issues raised and damage caused by reports of this type issued by a US or overseas short seller," the statement said.

The report estimated that WiseTech is the second largest player in the market to Descartes, with both having about 25 per cent market share.