#4 - Upwork (NASDAQ:UPWK)
The gig economy has created interest in Upwork (NASDAQ:UPWK) stock. And according to research from Mastercard (NYSE:MA), gig work is projected to grow at a compound annual growth rate (CAGR) of 17% through 2023.
And that report almost certainly didn’t account for the Covid-19 pandemic. Many freelancers are turning to sites like Upwork to prospect for work. Upwork and other sites like it is a huge job board for freelancers to find gig work. Clients and freelancers can use the site to collaborate. Upwork’s revenue increased by 19% in 2019; this increase was largely driven by its freelancer marketplace.
Some freelancers can find long-term engagements through the site. But the site is geared to “one-off” jobs that small business owners don’t want to tackle or feel it’s worth the investment to have someone else do the job for them.
A potential obstacle may be that as many small businesses are still closed due to the novel coronavirus, they may cut the expenses they pay for work that may be seen as a “luxury” during this time.
Investors looking to invest in the stock need to pay close attention to Upwork’s earnings report. The company continues to run through cash, posting a net loss of $16.7 million in 2019.
About Upwork
Upwork Inc, together with its subsidiaries, operates a work marketplace that connects businesses with various independent professionals and agencies in the United States, India, the Philippines, and internationally. The company's work marketplace provides access to talent with various skills across a range of categories, including administrative support, sales and marketing, design and creative, and customer service, as well as web, mobile, and software development.
Read More - Current Price
- $16.02
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 8 Buy Ratings, 3 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $17.00 (6.1% Upside)
