Overview
We are initiating our coverage on Anaplan (PLAN) with an overweight rating. We believe that the company will continue to benefit from the growing global demand in connected planning longer term, despite the near-term challenges at present. The business was impacted by COVID-19, as the company saw lower volume of deals booked and lengthened sales cycle in Q1 2021, which was reflected by the slower-than-average ~10% growth in billings. Furthermore, Anaplan also saw its CRO (Chief Revenue Officer) leaving during the quarter. Nonetheless, revenue still grew by ~37% in Q1, while the