Sold All ZS Shares @$49.85, bought 326 CRWD Shares @$57.04

ZS reported a weaker quarter and gave weaker guidance then I was hoping for. We’ve now seen multiple quarters of execution challenges from the company.

  • Revenue grows 48% year-over-year to $93.6 million

  • Calculated billings grow 37% year-over-year to $88.3 million

  • Deferred revenue grows 49% year-over-year to $245.9 million

  • GAAP net loss of $17.1 million compared to GAAP net loss of $7.6 million on a year-over-year basis

  • Non-GAAP net income of $4.1 million compared to non-GAAP net income of $2.3 million on a year-over-year basis

Q1 2020 Report

I believe their technology is great, but it’s a heavy lift for customers to implement which seems to be creating a challenging environment.

I’m leaning more heavily towards companies with much easier implementations.

AYX, DDOG, CRWD, ZM, WORK, etc.

I’m expecting strong reports from CRWD, ZM, MDB, and OKTA and hoping for some nice surprises from ESTC, PD, and WORK over the next two weeks.

Have a great night/day,

Austin