Things keep getting worse for Slack (NYSE: WORK). Since the company made its stock market debut in June via a direct listing at $38.50, its shares have fallen by about 30%, as investors' mood over its outlook has soured.
There's certainly a lot to like about this workplace-collaboration software provider -- based both on its product and how fast the business is growing. But there are concerns, too, and when it comes to making a purchase of its stock -- at the moment -- I think the negatives outweigh the positives after the company's first quarterly report as a publicly traded concern.
Total revenue during the second quarter of fiscal 2020 (which ended July 31) was $145 million, for a year-over-year increase of 58%. That included an $8.2 million expense from customer credits given due to a service disruption during the quarter. Through the first six months of fiscal 2020, Slack's revenue was up 52%. Those are great numbers by any measure.