I recently bought shares of Upwork (UPWK), the world's largest freelancer exchange in the world. I always believe in adding high quality dividend paying stocks in my IRA account but I also have an interest in growth stocks, particularly pioneering of a new growing industry.
Upwork is the perfect company to benefit from the change in global workplace habits. Simply put: more people are shunning the 9 to 5 and earning money in the gig economy.
The company is currently not profitable but I use their platform to hire high quality freelancers from all over the world. The talent on their site is quite high and the stock is trading at a 52 week low.
Upwork IPOed at around $15 per share and the shares went through the roof. I credit much of these gains to IPO hype and knew the stock would fall since they are not profitable.
At $12, the price is attractive enough for me to start building a position. Q3 2019 was pretty solid and full year 2019 revenue is forecasted at over $300 million.
Don't expect to get rich as an Upwork shareholder overnight. The gig economy is a new phenomenon so it takes time for people to see freelancing as a respectable full-time job.
I'm long Upwork shares and will continue to add to this position over time. I use dollar cost averaging on new IPOs like this. My goal isn't to time the market with newer companies but slowly build a large position over time.
Disclosure: I own shares of Upwork.