Elastic defines themselves as a company that provides information technology and data analysis services. The Company offers monitoring, security analysis, enterprise search, cloud computing, and open source application performance monitoring solutions. Though Elastic offers so many options for their users, they have three main advantages and uses:
- Allows companies to look through their corporate information
- Helps businesses resolve performance issues and problems
- Organizes responses to various threats and viruses
In addition to these, one of Elastic’s main selling points is Elasticsearch, a powerful search and analytics engine. This tool is so user-friendly and preferable that they have lured in big customers like Walmart and Microsoft. In addition to these two companies, Elastic grew general clientele by over 32% this quarter, leading to a lot of growth in free cash flow. Elastic’s top competitors currently are Google, Oracle, and Amazon, but the fact that Elastic is beating all these competitors as a relatively newer company is a testament to just how much promise they have. Below are the key financials for Elastic.
- Market Cap: $11.18B
- Revenue: $733.8M
- Revenue Y/Y: 43.72%
- Gross Margin: 73.53%
Next, Fiverr defines themselves as a company that provides a platform for freelancers to offer services to customers worldwide. Fiverr serves to allow listing and applying for small one-off jobs, or gigs, online. Fiverr is currently located in a very fragmented market, showing that Fiverr does not have complete control over the freelance marketplace industry quite yet. One of Fiverr’s selling points is that it uses AI technology to make personalized recommendations for users, allowing for more user-friendliness.
Fiverr’s main competitor is Upwork, but Fiverr is currently experiencing more growth and has better financials than Upwork. Fiverr’s management is currently executing a solid growth strategy, which makes them a better company to invest in. All in all, Fiverr is the future and is poised to grow. Below are key financials for Fiverr:
- Market Cap: $4.19B
- Revenue: $273.79M
- Revenue Y/Y: 67.81%
- Gross Margin: 82.49%
The financial term for this blog is GAAP, which stands for Generally Accepted Accounting Principles. As the name suggests, GAAP is a set of accounting rules that companies must follow as put forth by the FASB (Financial Accounting Standards Board). Their main use is to make sure company 10Ks are up to point, but they generally improve financial reporting for investors. One fault is that in the USA, states have the option to be not, somewhat, mostly, or fully compliant of GAAP rules, so GAAP cannot be used to analyze all companies.
Below are the ten key principles of GAAP that every accountant is required to know.
- Principle of Regularity
- Principle of Consistency
- Principle of Sincerity
- Principle of Permanence of Methods
- Principle of Non-Compensation
- Principle of Prudence
- Principle of Continuity
- Principle of Periodicity
- Principle of Materiality
- Principle of Utmost Good Faith