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No. of Recommendations: 26
This feels like Slack's kid brother - a good company, decent-to-good stock that will never be a big winner.
...it just doesn't have anywhere near the urgency, essentiality (good word), clarity...
...I'm sure it can be a good investment. But I'd be stunned if it ever makes the big leagues here.


Totally agree with Dan on this one, but I own a 3% position. Why? Two reasons:

1) I don't want to invest my entire portfolio into CRWD, NET, and DOCU. Since I can't find more of the like, I need some tier 2 positions. Therefore I still hold a double-digit ZM position even though the numbers going forward seem less clear to me than these big 3. Same with ETSY (but I think it's even better, because even though ETSY has been running up lately, it still isn't expensive AT ALL. Maybe I should add more...) And I still have a 20%+ cash position, so I'm open to finding several more for tier 2.

2) Asana's numbers are good though not great. 55% growth is very good (if not, we're truly spoiled) and I think it could accelerate a smidge in Q4, and optimistically next year as well. But even if the growth rate stays around where it is, dominance and staying power of growth will be more important than maxing out the growth rate. One thing that makes me think they are becoming the dominant company in their space is their customers.

Google, Uber, Deloitte, Okta, Spotify, Coupa

compare that to Smartsheet's touted customers: Whirlpool, Western Digital, McGraw Hill, Cisco -- not exactly the technological up and comers!

Trello doesn't seem to do as much as Asana anyway, but their customers seem meh too: https://info.trello.com/customer-stories

I agree with what everyone has been saying in this thread, that Asana doesn't merit a large position at this time. I probably won't add much to my 3.2% position. But I also see some potential here, and not much risk. At $28, the trailing PS ratio is 22. Perhaps there is risk that this one underperforms the tier 1 companies, but there's not much downside here, as I see it.

Bear
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