Overview
There is upside potential on Upwork (UPWK). Since we wrote about the stock the first time last October, growth has accelerated while the take rate has improved. Furthermore, the increased investment in brand marketing will potentially result in higher growth beyond Q1 and 2020. However, shares price has also dropped by over 17% since then, primarily due to the concern on the COVID-19’s impact on the company’s significant SMB client base and the leadership change. Consequently, the current ~$12 price level offers an attractive entry point for investors.
Catalyst
Upon the