Fundamental metrics
- Gross margin > 70%
- Just entered profitability with a net margin of 0.04%
- Revenue growth 25.4%
- Rule of 40 = 0.04+0.04 = 25.4
- Free cash flow growing slowly
- The net revenue retention rate of 111%. Existing customer base alone has added 11% of revenue for the year ended 2019. 1100 new customers which is about a 30% increase
- Financial health is a concern with a current ratio of only 1.04, interest coverage of 1.04 and a Debt/equity of 0.82
- Structural tailwinds due to growing adaption of cloud services and network hacking.
- An organization would spend more funds on ensuring cybersecurity, detecting threats and protecting data. Remember, data is the new oil.
TA,
- Lower Bollinger band accumulation
-4H/Daily RSI buy
- 5EMA trending up
- 0.5 Fib support
- Daily level support
- Ascending wedge?