Naughty and Nice: CFLT

Investing Strategies Abandoned Arctic Outpost #13
1

Current Standings:

A) Nice List:

  1. BILL
  2. ZI
  3. MELI

B) Eye of the Beholder List:

  1. NET

C) Naughty List:

  1. AMPL
  2. UPST
    …

Confluent - Data Streaming Platform that Processes Data in Real Time

https://www.confluent.io/

CFLT Announced Q1 2022 Earnings on May 5

https://seekingalpha.com/pr/18781236-confluent-announces-fir…

https://seekingalpha.com/article/4507754-confluent-inc-cflt-…

  • Total revenue of $126 million, up 64% year over year. This isn’t so bad until you considered that it represents a slow down from the previous QTR by 7%: Oh POOP!

  • Confluent Cloud revenue of $39 million, up 180% year over year: Atta BOY!

  • 791 customers with $100,000 or greater in ARR, up 41% year over year: ATTA BOY!

  • RPO growth accelerated year over year: ATTA BOY!

  • A world-class dollar-based net retention rate for Confluent Cloud of greater than 150%: ATTA BOY!

  • We are raising our 2022 guidance: ATTA BOY!

  • Non-GAAP Operating Loss got worse by over 20%: OH POOP!

  • Non-GAAP Operating Margin was flat: OH POOP!

  • Net Cash Used in Operations Increased 35%: Oh POOP!

  • Free Cash Flow worsened by leaps and bounds: OH POOP!

  • Guidance for More Slowing Growth: OH POOP!

  • Market Reaction Part One: Stock down 30% since Report: OH POOP!

  • Market Reaction (Piling On) Part Two: A number of Analysts Lowered Price Targets: OH POOP!

…

CFLT ER SCORE: ATTA BOYS 5/OH POOPS 8

List and Ranking Assignment: Naughty List #1

All the Best,

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