Shares of Atlassian (TEAM -0.55%) rose 93.7% in calendar year 2020, according to data from S&P Global Market Intelligence. It was a rocky ride for the collaboration software maker, with many single-day drops of more than 5% along the way, but the good days vastly outnumbered the bad.
Atlassian crushed Wall Street's expectations in all four of last year's earnings reports, often by very convincing margins. Cloud-based collaboration tools are an easy sell in the coronavirus era of work-from-home policies, and Atlassian is an established leader in that space.
The Australia-based company isn't resting on its fluffy laurels, either. CFO James Beer provided this update on Atlassian's capital management approach in October's first-quarter earnings call:
"We've very much taken the stance of investing through this challenging macroeconomic period for our customers with very much the strong belief that, that will drive long-term competitive advantage for us," Beer said.
In other words, Atlassian is using the tailwinds from the coronavirus crisis to accelerate its long-term growth plans. Investing in new products, better business processes, and a stronger infrastructure may hurt the company's bottom line today, but should pay dividends in the long run.