WORK - Slack Technologies: Interesting Yet Still Some Work To Do
Slack Technologies (WORK) has been an interesting company. I concluded in August that relative comparisons were starting to look favorable. I noted that the company has seen acceleration of revenue growth in this COVID-19 environment which was accompanied by modest improvements on the margin front, both encouraging developments.
While the second-quarter numbers were solid, billings look soft (but this is in part explainable) as the real concern is slower revenue growth and operating margin deleverage. Nonetheless, the basis investment case remains interesting as valuation multiples come down, and while growth is perhaps a