Parasitic Twins: ASAN and MNDY

Sometimes, in the womb, a twin who is not healthy will start devouring the blood supply of the twin who is. We seem to have that dynamic today with Asana taking down Monday, even though Monday is executing at a far higher level.

A few figures:
Rev Growth: MNDY 91% ASAN 64%
NRR: MNDY 135% ASAN 120%
Growth of customers spending over 50K: MNDY 200%!! ASAN 125%
FCF: MNDY Pos. ASAN Negative
Operation Loss: MNDY halved theirs. ASAN increased theirs by about 50%

Monday cannot get any love for their performance. It’s frustrating.

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The IPO, less than a year ago was priced between $125-$140. And frankly, that time period in the financial markets was, by any measure, somewhat overheated. Maybe those investment banker types had a pretty good sense of what to value the company at. And the intervening growth combined with a reduction in the “overheating” has kept the valuation and share price flat? I realize it doesn’t seem flat to shareholders that started buying in the mid $300’s.

Asana, otoh, was IPO priced at $21. So still nearly a double.

Weird. Who can understand Mr. Market?

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These collaboration tool companies are a dime a dozen. So much competition and always a better mousetrap. For me personally there is no real stickiness or moat either. I work in an aerospace company with just 1500 employees, our programmers have developed similar tools completely in-house (much earlier than all the tools came into fashion in last 5-10 years)and it works OK.

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