Just over a month ago, we covered Skillz (NYSE:SKLZ) right after it announced the NFL partnership and had placed a neutral rating because of its quick run following the announcement. Since then, growth stocks have seen a high level of volatility. Skillz in particular, saw its value drop 50% from peak to trough heading into earnings. The main reason for the drop in growth stocks can be attributed to the rise in bond yields.
The company also got hit with a short-seller report from Wolfpack Research. If you are just checking out this company for the first time, we suggest you check out our previous article for a more introductory overview of the company. In this article, we will be discussing the company's most recent developments, briefly look at the short-seller report, and update the valuation from the previous article.
What we like about Skillz
Skillz’s platform is very engaging with 13% of their users participating in prize competitions versus 2% for the average mobile game that relies on in-app purchases. This high level of engagement relative to the average, combined with its increasing user base, has led to strong growth for 2020. Revenue grew 92% for the year and 95% for the quarter year-over-year...read more
*This is a premium seeking alpha article, so we can’t fully post it here.*