- The primary reason that Fiverr has underperformed the market recently is a combination of slowing growth and a high valuation.
- The online freelancer market which Fiverr serves is a large opportunity with low penetration.
- The Fiverr platform is a two-sided marketplace that has established a double-sided network effect moat.
- The company has shown both high growth and operating leverage in the latest quarter.
- While Fiverr might not be considered a "bargain", it is selling at a valuation that might be considered very enticing to long-term growth investors.
For further details see:
Fiverr: Buy This High-Quality Business