The Next Zoom? 3 Remote Work Stocks the Investors Shouldn’t Ignore
The global workforce experienced a seismic shift towards remote operations during the pandemic, revealing the productivity benefits of remote work setups and attracting investor attention to both established and emerging remote work stocks. Zoom Video Communications (NASDAQ:ZM) perhaps exemplifies this shift, evolving from a pre-2020 web conferencing platform to a communication staple during the pandemic. Consequently, ZM stock gained a whopping 396% in 2020, becoming on the biggest pandemic success stories.
The appeal of remote work endures even in the post-pandemic world, with a remarkable 98% of employees expressing a preference for remote options. A projection of 32.6 million Americans, approximately 22% of the workforce, continuing remote work signifies a persistent and gradual shift in workplace dynamics.
Furthermore, as the economy shows signs of recovery, the acceptance of work-from-home arrangements grows. Employers and employees alike seek companies offering superior remote work solutions. This demand creates an opportune moment for investors to explore promising work-from-home stocks. Here, we spotlight three compelling options in the current market landscape.
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Coursera (COUR)
Source: Olesya Kuznetsova / Shutterstock
Coursera (NYSE:COUR) stands out as a transformative force in education, providing an array of online courses from universities, tech giants, and corporations. Beyond traditional career-oriented programs, it enables exploration of a wide range of subjects, transcending mere professional development.
Recently, Coursera reported robust fourth quarter performance, with non-GAAP earnings per share of 6 cents surpassing expectations and revenue of $168.88 million, marking a stellar 18.8% year-over-year growth, exceeding estimates by $4.11 million. This financial success is a testament to the platform’s growing influence, with it blowing past top and bottom-line estimates in the past six consecutive quarters.
Furthermore, Coursera’s launch of the Gen AI Academy in the UAE and pivotal partnerships with Microsoft (NASDAQ:MSFT), Google Cloud, and AWS strategically position the platform in the remote work landscape. With a projected $5.3 billion generative artificial intelligence investment in the UAE by 2030, Coursera effectively meets the growing demand for AI skills in remote work, potentially boosting user engagement and subscriptions.
Zscaler (ZS)
Source: Andre_Carvalho / Shutterstock.com
In the realm of work-from-home stocks, Zscaler (NASDAQ:ZS) emerges as a stalwart provider of specialized safeguards essential for the remote work landscape. Focused on security solutions, Zscaler’s platform integrates core functionalities, enabling organizations to navigate cloud resources with context, identity, and policy-based access. The company’s multi-tenant, purpose-built approach ensures a secure environment, permitting the use of policy-allowed applications.
Moreover, its first quarter 2024 performance underscored its resilience, with a remarkable 39.7% annual revenue surge to $496.7 million. The company’s strategic initiatives significantly increased demand for Zero Trust Exchange through the integration of AI. Looking ahead, the second quarter guidance paints a promising picture, predicting revenue between $505 million and $507 million, signifying a robust 30.5% annual growth.
Moreover, the fiscal year outlook ranging from $2.09 billion to $2.10 billion positions Zscaler for a formidable 29.6% year-over-year growth. Zscaler’s unwavering commitment to innovation and security makes it a compelling choice for savvy investors.
DocuSign (DOCU)
Source: boommaval / Shutterstock.com
In recent years, DocuSign (NASDAQ:DOCU) has become a staple, making life more convenient, reflected in its impressive five-year forward compound annual growth rate (CAGR) of 28.34%. This sustained growth speaks to the widespread utilization of DocuSign’s tools, extending beyond personal anecdotes.
Underpinning its appeal, DocuSign’s organic growth is evident in its third-quarter report, showcasing a 9.3% year-over-year increase in subscription revenue and a concurrent 4.9% rise in billings. As corporate liabilities potentially ease through an interest rate pivot, DocuSign stands poised for continued growth, making it an enticing choice for investors seeking a blend of stability and upward momentum. Additionally, Docusign seems to be actively plotting a journey into private ownership through a leveraged buyout. Notably strategic, these maneuvers often carry substantial premiums, hinting at a potential upswing display in DOCU stock value.
On the date of publication, Muslim Farooque did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines
Muslim Farooque is a keen investor and an optimist at heart. A life-long gamer and tech enthusiast, he has a particular affinity for analyzing technology stocks. Muslim holds a bachelor’s of science degree in applied accounting from Oxford Brookes University.
More From InvestorPlace
The #1 AI Investment Might Be This Company You’ve Never Heard Of
Musk’s “Project Omega” May Be Set to Mint New Millionaires. Here’s How to Get In.
The post The Next Zoom? 3 Remote Work Stocks the Investors Shouldn’t Ignore appeared first on InvestorPlace.
