What Is the Slack Stock Symbol?

Editor's Note: This story was updated on July 14, 2020.

slack stock symbol

Slack Technologies Inc. (NYSE: WORK) offers cloud-based software that helps with project management and professional collaboration. The company was founded in Vancouver, British Columbia in 2009.

Despite its quick success, no one expected an IPO so early. In a May 4, 2017, Bloomberg interview, Slack CEO Stewart Butterfield said the Slack stock IPO is "years away."

But on April 26, 2019, the Slack stock symbol appeared on the NYSE for the first time.

Now that Slack has gone public, questions about whether or not to invest in Slack stock abound. Investors should be prepared and know what’s happening with Slack share prices before making any investment decisions.

While Slack stock prices have seen some highs and lows since its IPO, recent trends could give them a boost. But for how long? Is it worthwhile to invest in?

We can help you with that.

We’re going to give Money Morning readers a few investing tips and information for what’s going on with Slack stock.

Let’s begin…

Is Slack Technologies Inc. Profitable?

Slack Technologies is not yet profitable. But that doesn’t have to be a bad thing for stockholders.

Companies as young as Slack can spend years in a “spend money to make money” phase before reversing their bottom line.

And it is making money…

Slack earns by selling subscriptions to large companies to use its services. Currently, it has more than 65 Fortune 100 companies using the platform.

That’s why Slack has been able to increase revenue by 563% from 2017 to 2020. It grew by 57% from 2019 to 2020, but doubled for two consecutive years before that.

Of course, Slack’s operating expenses increased sizeably as well, up 122% from 2019. But Slack is also one of the premier “work from home” stocks. These stocks have had to rapidly increase their capacity lately.

And here’s how that could work in its favor…

How Much Is Slack Stock Worth?

Slack stock is priced $33 today. It saw a 44% gain since the start of 2020, and it likely won’t stop there.

The price went from $23 to $33 from January to June. But some analysts are targeting $45 for the stock over the next 12 months. That’s 36% more growth potential.

What Slack stock is actually worth, in real terms, could be significantly more than that.

Slack was already seeing big revenue growth long before the pandemic hit. Now that many are forced to work from home, more companies are incentivized to pick up a centralized chat tool. This could make the company profitable sooner than expected.

And that would raise the stock price, in turn. This year, we are likely to see the Slack stock price at least retest its $37 high and beyond.

But with its reach, this company is positioned to go even further.

When Was the Slack IPO?

Slack Technologies Inc. filed its IPO on April 26, 2019, and began public trading as a direct listing on Thursday June 20, 2019.

A “direct listing” is technically different than an “initial public offering.” This is an unusual way to list on the New York Stock Exchange.

With an IPO, banks underwrite the offering and new shares are sold. Companies typically raise money for IPOs, but Slack was sitting on $800 million cash at the time.

That means it didn’t feel pressure to raise money by selling shares. Instead, existing shareholders could choose to register their shares for sale on the exchange.

A bank normally determines the price with an IPO. But in the case of the Slack direct listing, the NYSE set the price at $26.

On its first day of trading, the price of Slack stock exceeded the $26 per share, ending the day at $38.50.

Did Slack Almost Get Bought Out?

Before the Slack IPO, the company received inquiries from Amazon.com Inc. (NASDAQ: AMZN) and other unnamed tech companies about an acquisition.

The key word here is inquiries.

Amazon and other tech companies were trying to gauge how much acquiring Slack would cost. These inquiries didn’t necessarily mean Butterfield was actively trying to sell Slack.

Potential buyout offers weren’t new for the company, and Slack shut them down a number of times.

The FCC's Recent $10 Billion Initiative Is Going to a Single Technology – Click Here to Learn More…

At the 2015 Recode Code Conference, Butterfield said he had already turned down between eight and 10 acquisition offers.

Now, with Slack stock doing well, how does it stack up as a profit play?

There might be a better option…

Focus on These Other Profit Opportunities

The first Slack IPO investment was $38.50. That investor would have lost money, since the stock is below that today. If you’re trying to maximize profits on your stake in a startup company, buying at the IPO might be too late.

In fact, did you know there’s a way to grab share of a company even earlier?

This is called angel investing. And thanks to the JOBS Act of 2012, anybody can do it. You just have to know which companies are set to thrive.

Celebrities like Ashton Kutcher come to mind when you consider angel investing. But these kinds of opportunities are no longer reserved for the “elite.”

Ashton Kutcher, an actor and investor, quadrupled his stake in Skype after putting in $1 million. Skype is not even public yet. Yet, Ashton was still able to profit handsomely, spotting the growth opportunity early.

You can do this, too, only you don’t have to be famous, and you don’t need $1 million.

The Angels & Entrepreneurs Network exists to help guide you through the startup investing process. It’s a community of angel investors sharing knowledge and taking active steps to profit from early stage companies.

You can start becoming an angel investor right here…

Why Startups Can Have an Edge During a Recession

Uber, Airbnb, Slack, Pinterest, and Venmo have something big in common – something other than their big names.

These startups were founded during the last recession.

And now, some of the most iconic companies of our time could launch into Fortune 500s during days like today.

Click here for details…

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