Stockideas

Smartsheet Inc
(NYSE:SMAR)
Smartsheet Inc

Smartsheet Inc. provides cloud-based platform for execution of work. It enables teams and organizations to plan, capture, manage, automate, and report on work. The company offers Dashboards that provides real-time visibility into the status of work to align individuals, managers, and executives; Portals to easily locate and access from any device the resources available for a project without IT assistance; Cardview to organize, share, and act on ...
Founded: 2005
Full Time Employees: 1,915
CEO: Mark Mader  (Jan 2006~)
Sector: Technology
Industry: Software-Application
Next Earnings Date: 2022-12-01
Stock price: $32.19 (+4.72%)
Smartsheet Stock Spikes 15%. The Company Sees Strong Growth Ahead.
By: ssmlee04 Community Lead :))   💬 97   
   on Dec 03, 2021

https://www.barrons.com/articles/smartsheet-stock-price-earnings-sales-51638490064

For the quarter ended Oct. 31, Smartsheet (ticker: SMAR) reported revenue of $144.6 million, up 46% from a year earlier, exceeding both the company’s guidance range of $138 million to $139 million and consensus of $140 million. Revenue accelerated from 44% growth in the July quarter. 

$SMAR


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Amazon reportedly in talks to authorize Smartsheet app for employees
By: ssmlee04 Community Lead :))   💬 97   
   on Jun 20, 2021

https://seekingalpha.com/news/3706116-amazon-reportedly-in-talks-to-authorize-smartsheet-app-for-employees

Amazon (NASDAQ:AMZN) is in talks to authorize Smartsheet's (NYSE:SMAR) workplace collaboration app for use by its employees, according to The Information sources.

$AMZN $SMAR


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2020 SaaS review
By: ssmlee04 Community Lead :))   💬 97   
   on Jan 03, 2021

2020 is an interesting year for SaaS companies. Some of them went public and gained huge success in the stock market. Some of them continued their rally from 2016-2019 and have another great year. Some of them have greater success than the others because of their business models in the work-from-home environment. And there's a common thing for those SaaS companies, that is: those companies probably developed something people want.

The following is a list of the top 15 SaaS performers in our database in the last 250 days as of December 31, 2020. https://i.imgur.com/xL1w2F2.jpg

Some of the companies here are getting a lot of attention this year. Terminologies like Zoom Fatigue even appeared in the second quarter. It seems everyone was talking about Zoom at some point. And that's reasonable because Zoom is the clear winner in this video conferencing space. They keep your company operational by providing you a smooth video call user experience for your employees and your clients. There are literally companies built on top of Zoom calls that provide you remote journey experiences, and they do great because of Zoom and Covid.

https://i.imgur.com/KWx3Ea2.png

Cybersecurity is also something to worry about for companies in 2020. Intuitively, when companies are working remotely it would be harder for companies to safeguard their infrastructure. That's when companies like CrowdStrike or Zscalar or Okta come into play. Okta help companies manage their employees' access identities. Zscalar and CrowdStrike protect your web infrastructure using technologies to derive insights from your data and protect your infrastructure in real-time or near real-time.

Also when a lot of people are working remotely you'd expect Internet usage to go up. Cloudflare is a CDN company that help websites serve their requests fast. Fastly is also doing similar things in the video CDN space and helps companies like TikTok serve their videos. And as more people spend more time on their mobile devices those companies also do well. And to support those web requests you need companies like Twilio to send you SMS messages or phone calls, without Twilio you might not even able to login to your apps.

Also when people are staying at home people have more time to get creative. So maybe people start selling stuff on Shopify or Etsy or Pinterest or create websites on Wix. And at the same time, you have marketing companies like Facebook or TradeDesk or Digital Turbine to help you advertise your stuff on mobile devices. The success stories for those SaaS companies are inter-connected.

There are many other interesting SaaS companies that are not mentioned above. They are not in the top 15 maybe because they're not directly related to the stay-at-home trend, but that doesn't mean they're less interesting. As a software engineer, I have to use application monitoring services, database services, image compression and processing services, mailing services... and many others. This is what makes a modern software company functional. And as long as your company is growing you would continue to add and look for the best services for your company. And when more companies are becoming software companies I can imagine those SaaS companies to have a great future ahead.

A few things in common here for the companies on the list:

  • They grow REALLY fast. A lot of the companies on the list are growing 40-80% a year.
  • They all have really high gross profit margins.
  • They're traded at a very high valuation. A lot of them have a p/s ratio of 40-60.
  • The majority of them are losing money.
  • They don't pay dividends.

A possible explanation is that there are no clear winners in the space they're operating in, so they're doing whatever it takes to make sure they win in the long run. And of course that means they cannot afford to pay dividends. Also they're all traded at astronomical levels of valuations maybe because they have high profit margins, and the future for those companies are expected to be good.

Take DocuSign for example. They're one of the pioneers in e-signature. But e-signature is some sort of niche market. You may come up with another e-signature solution with a small team but by the time you have the solution in place you might already be spending millions achieving zero revenue while DocuSign might grow revenue another 40%. In the end there's just not enough market share for you to survive. So it would not be a good idea to copy DocuSign business model, this makes DocuSign (and all the SaaS companies) unique in a way.

If you look back at Amazon anytime in the past 20 years you'll see it's always traded at high multiples. It is still traded at high multiples today but would anyone complain that Amazon is too expensive? Probably not. Because now we know Amazon is dominating in any spaces they're operating in, we just couldn't see it 20 years ago. So maybe there's a correction between winning and being expensive and that's why all the cloud stocks are expensive because there's a chance all of them are dominating in their space in the next 5-10 years.

But, of course, being expensive does not mean the company would be successful eventually. But if you want to look for something good in the next 5-10 years there's a chance it's on the list but you just don't know it yet.

$ZS $DBX $ZUO $AYX $DOCU $SMAR $DOMO $SVMK $AVLR $TTD $PCOM $NOW $WDAY $PD $WORK $ZEN $TEAM $VEEV $CLDR $SHOP $FSLY $TWLO $ADBE $AAXN $CRM $OKTA $GOOG $DT $ZM $SPLK $WIX $COUP $MDLA $LPSN $APPN $EPAY $AKAM $APPS $FIVN $BL $PANW $PFPT $CRWD $DDOG $NET $HUBS $NEWR $APPF $RNG $ESTC $BILL $GDDY $DCT $ECOM $PLAN $SNOW $SUMO $FROG $ASAN $JAMF $ADSK


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Smartsheet
By: istanbul Traveler   💬 7   
   on Jul 25, 2020

Good business management software. It would gain more traction when you have to spend more time working remotely.


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Smartsheet drops after ER
By: raspberry lazy guy   💬 31   
   on Jun 03, 2020

https://www.marketwatch.com/story/smartsheet-stock-plunges-after-billings-outlook-fall-short-2020-06-03

AFAIK I haven't really know anyone who uses smartsheet to maange their projects.I wonder how do they get their customers. $SMAR


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Crowded space
By: ssmlee04 Community Lead :))   💬 97   
   on Oct 21, 2019

Smartsheet is a great company with solid track records, and I have invested in this company before. But after I saw the other day how our software team use Asana to manage the project and switch between timetables and have conversations so seamlessly I realized you don't necessarily need Smartsheet to manage your projects. Also, a lot of competitors are showing up very quickly. I get a lot of monday.com ads recently, this seems to be another project management tool that just works. Also Trello or Kibana or many others are also really good if you want basic project management.

Smartsheet pricing starts from $14.99, at the same time Asana has free monthly plans for small teams, and their premium plan starts at $10.99. So overall Asana pricing is more appealing. I can see Asana taking a big portion of potential clients away from $smar to be honest. Also, I might just migrate away from Smartsheet if I were a project manager because there's no restriction that, unlike other mission-critical services, you can only have 1 project management tool at a time.

Smartsheet pricing:

https://i.imgur.com/6QnsXFw.png

Asana pricing:

https://i.imgur.com/6qdUVpG.png

This field is getting crowded and not sure it's a good idea to continue to invest in companies in this area. I would probably not touch Smartsheet again for quite some time. It does not look like a disruptor to me.


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SMAR
By: ssmlee04 Community Lead :))   💬 97   
   on Oct 02, 2019

https://investors.smartsheet.com/events-and-presentations/presentations/default.aspx

This is taken directly from their annual conference presentation yesterday. And according to them the customers seem to like them a lot.

https://i.imgur.com/FcVbEkY.png https://i.imgur.com/K26vIya.png https://i.imgur.com/VcUU5JX.png

Some more good things I see in there:

  • Dollar-Based Net Retention Rate improved 3 pts to 134% in Q2 FY20 from Q2 FY19
  • H1 FY20 growth rate of 54% and FY20 guidance implies growth of 50% at mid-point
  • Number of customers with ACV $100K or more grew 128% to 226 in Q2 FY20
  • Non-GAAP gross margin of 82% for H1 FY20
  • Net dollar retention is so good.

https://i.imgur.com/nNYh3bM.png

Also Smartsheet is used by over 75% of the Fortune 500 companies. And the net dollar retention is the highest among this group. That is also a good thing. That seems to me it gets harder to switch away from their service.


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DOCU
By: tachyon Very lazy guy   💬 23   
   on Sep 06, 2019

It's the only SaaS stock that goes up AH when it has earnings miss. All other stocks like $smar $zm $crwd are all revenue and earnings beat and drop 10% AH. Funny world. $docu


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SMAR
By: ssmlee04 Community Lead :))   💬 97   
   on Jun 07, 2019

Q1 2020 revenue growth is 55% yoy to 56.2 million. Total number of paid users are over 5 million now. 34 companies has an ARR over $50,000 and 13 of them has ARR over $100,000. Very impressive results. Also it's quite hard for me to imagine for a service so hard to get your hands on how do you get 5 million users. Go to the registration page you will know you cannot register with gmail.com addresses. Current EV/Sales are around 23 I'd say this is not excessive as a SAAS company, maybe it's a good buy whenever it dips. To me it's a very interesting market and target audience that they have. According to them they're trying to make lifes easier for people who doesn't code to easily manage their workflows and gain insights efficiently, I used to thought the work would be too granular but it's very surprising to me what seem to be a very niched market is able to offer this kind of investment opportunity.


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