In 2020 and over the past few years, several new-age software-as-a-service (Saas) companies have made incredible gains. In the immediate wake of the pandemic, these companies helped enterprises large and small go to a work-from-home posture, ward off cyber threats, and use data in new and novel ways.
Some investors may have missed the boat, having held off for valuation concerns. After all, many of these companies looked rather “expensive” to begin with as they reinvest to drive growth as fast as possible and make little in the way of profits. Some even post sizable losses.
One of the hottest of these stocks is cybersecurity software vendor CrowdStrike (NASDAQ: CRWD), which skyrocketed in 2020 and especially December, following revelations of the “Sunburst hack” against many companies as well as the U.S. government.