Future of Asana?
Stock down from 140s to around 40. I get it, most growth stocks are down. But what is the future of Asana like? Never used the product but I see employees have a lot of positive things to say about working there. But still, positive things don't pay your salary. Can Asana grow into a 20B or a 30B dollar company?
Nobody can predict the stock market but you can look at the business environment to get a sense for the company’s future. Some analysts expect the work management category’s total addressable market to be around $50B. Asana is currently <1% penetrated at ~$400M revenue and expected to grow by >30% this year. Every other company in this space is also growing revenue at >20% which hints that the market isn’t close to saturation.
If the TAM is around $50B, then can a company's market cap be around 30B? In that case the company has to be a near monopoly right? Asana is simply one of the many players in this space, no?
that 50B should be thought of as 50B combined revenue / year not as 50B total combined market cap
No
IMO the vision of Asana is more like a bundling of many productivity tools. The goal is to at least partially replace slack, docs, email, task/bug tracking, OKR tools, to some extent spreadsheets, etc. Pretty much every company with office workers could use something like that so I'm not worried about the TAM at all.
Lmao the koolaid. Gmail will not be topped by you all.
Whether we beat the g suite is another question, but that's what we're trying to do! The smart ones will realize it's more productive to tightly integrate these things instead of having both e.g. a bug tracker and an email inbox serving as a to-do list. "Why not combine them?" is basically the premise of Asana lol
I mean it’s a project management tool, how does it even justify its current market cap? It’s profitable which is cool, but 200m annual revenue seems low for 8bn cap. I dunno. Also I mean what is the growth trajectory for a product like this? I think they need to introduce more products.
I don't think it's profitable yet. Seeing negative EPS.
Ya you are right. I was confused but it’s losing money at an astronomical rate.