SaaS stocks in the pandemic. Amazing Report

JPMorgan downgraded AYX today (along with a bunch of high valuation SaaS companies) focusing on their high level of pull forward, on-prem focus and likelihood of churn. Flagging their summary if anyone here is interested

“Negatives in a recession:
35-40% of TCV bookings recognized upfront (and skews to the high end of this for enterprise customers), so slowdown in new business bookings may impact the top line faster than it would for a pure-ratable subscription business.
On-premise product; very little Cloud.
High ASP, and company recently increased server pricing by 30%.
Likelihood of relatively higher retail & financial services exposure. From the most recent 10K: “A significant downturn in the economic activity attributable to any particular industry, including, but not limited to, the retail and financial industries, may cause organizations to react by reducing their capital and operating expenditures in general or by specifically reducing their spending on information technology.”
Customers to consider: Air Canada, Westjet, Virgin Atlantic Airlines, Hyatt, Southwest Airlines, Nissan, Audi, Schlumberger.”