BlackLine Inc.'s (BL) stock price has outperformed the S&P over the past year, returning 32% compared to the S&P's 3%. This was mainly driven by its decent growth rate and gross margin expansion. The company has steady but slowing growth over the years with room to grow. The company's growing switching costs could help maintain its competitive position and improve its profitability once BlackLine reaches a larger scale. Based on relative comparison with some software companies, the company appears to be undervalued with consensus forward estimates.
(Source: Seeking Alpha)