While hypergrowth has become a dirty word recently, now is as critical of a time as ever to take a long look at some of these high-growth names.
A key point for each:
- $CRWD posted its 16th straight quarter of a dollar-based net retention (DBNR) rate above 120%. Also humble-bragged that its metric of customers using four or more modules wasn't worthwhile anymore (since over 70% already do) and changed it to 7 or more.
- $DDOG one-upped CrowdStrike and recorded 19 consecutive quarters of a DBNR above 130%. As companies continue migrating to the hyperscalers' ($AMZN, $MSFT, $GOOG) clouds, Datadog is poised to benefit.
- $BILL is my least confident pick of the group but is worth a watchlist spot as it also owns a promising DBNR of 124% and brings innovation to paperwork-heavy back-office operations.