Slack
One sentence overview: Slack offers many IRC-style features, including persistent chat rooms (channels) organized by topic, private groups, and direct messaging.
Slack Ticker : WORK
6/4/2020 Stock Price : $37.94
6/4/2020 Market Cap : $21.3 billion
Total Shares Outstanding Recent Quarterly Report : 425 million shares
| Jan 2020 | March Low | Apr 30 | 6/4/2020 | YTD % | |
| Slack | $23 | $17 | $27 | $38 | 65% |
| S&P 500 | 3231 | 2237 | 2912 | 3112 | -4% |
Slack Investor Relations Page
https://investor.slackhq.com/home/default.aspx
Slack SEC Page
https://www.sec.gov/cgi-bin/browse-edgar?CIK=work&owner=exclude&action=getcompany
Slack Glassdoor Ratings
https://www.glassdoor.com/Overview/Working-at-Slack-EI_IE950758.11,16.htm
Slack Overview
Slack has transitioned from a messaging tool to a collaboration tool. By operating through a freemium model, Slack’s functionality makes easy for all company employees to communicate.
Slack is in more than 150 countries and 8 languages. The goal of Slack is to reduce emails and meetings within an organization. Slack users are connected for 9 hours a day and use the app for 90 minutes a day.
Products
The key functions of Slack is messaging, file sharing, internal channels (chat), shared channels ( external communication to other companies) and search. What makes Slack so attractive to users is 1500+ integrations with other apps.
Slack has a four tier pricing model from free to standard ($6 per user per month), plus ($12 per user per month) and Enterprise grid. Once a customer looks to the enterprise grid, Slack provides customer support and sales support. As a result, customer acquisition costs are low as sales support is focused on customers generating $100,000 of annual revenues or more.
Business and Financial Drivers
Competition
The biggest competitor to Slack is Microsoft Teams which comes with Microsoft Office 365. With a very large installed base, Microsoft Teams has more users than Slack.
Future Outlook
Slack has demonstrated its stickiness once it is installed within a company. Despite the presence of Microsoft Teams, companies have demonstrated their willingness to pay for Slack.
Risks
Slack needs to grow revenue faster than general operating costs.
Disclaimer: I do not have any formal recommendation for or against this stock, so don’t buy or sell stocks based solely on what you read.
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