In today's video, I look at the stocks Fiverr International (FVRR 0.25%) and Upwork (UPWK -3.70%). Fiverr recently released research stating that more than 45% of US businesses have increased their investment in freelance talent since the COVID-19 pandemic began. Below I share a few reasons why investors should add these two companies to their watch lists.

Three reasons to add Fiverr to your watch list

  1. Fiverr reported 100% year-over-year (YOY) revenue growth and 56% YOY active buyers' growth for the first quarter of 2021.
  2. Fiverr has solid fundamentals for its trailing 12 months. It has positive cash flow from operations and has more cash and short-term investments than debt. 
  3. Future growth for Fiverr looks robust. The company reported guidance that shows 59% YOY revenue growth on the low end for the fiscal year of 2021. 

Three reasons to add Upwork to your watch list

  1. Upwork reported 37% year-over-year (YOY) revenue growth and gross margins of 73% for the first quarter of 2021.
  2. Upwork has solid fundamentals for its trailing 12 months. It has positive cash flow from operations and substantially more cash and short-term investments than debt. 
  3. In the past few weeks, Upwork has released new products to improve its freelancing marketplace. 

Click the video below for my full thoughts. 

*Stock prices used were the closing prices of June 3, 2021. The video was published on June 3, 2021.