A Promising Tech Stock I'm Adding to My Watch List
September has brought on increased market volatility versus the summer, and in response, many investors are likely dusting off their watch lists for potential purchases if recent selling persists. One technology stock I'm monitoring is Smartsheet (NYSE: SMAR), a provider of cloud-based project management and task automation software.
Smartsheet reported its fiscal second-quarter 2021 results on Sept. 2, and shares have taken a 21% haircut since then, primarily due to a slightly larger loss versus analysts' expectations, and a difficult market environment. Even after its pullback, Smartsheet's stock still seems pricey to me, currently trading at 15 times forward one-year sales.
Nonetheless, I'm intrigued by a few trends in the software-as-a-service upstart's results. Revenue growth is one (the company's top line soared 41% year over year to $91.2 million), but given its premium share price, the market already recognizes Smartsheet's growth potential.
Source Fool.com
