“Some users may be experiencing slowness with Slack in the desktop, browser and mobile at this time,” the company posted on its web site at 10:05 am ET. “The issue is impacting sending messages and troubles with API [application program interface] calls. Our team is looking into it and we will follow up with more updates in 30 minutes.”
In the latest update, time-stamped 1:06 pm ET, the company said: “The investigation is still ongoing, but the scope has stayed the same. We’ll update you again in a half hour.”
The outage hasn’t hurt Slack shares. They recently traded at $28.17, up 1.35%, and have climbed 25% year to date. The company has benefited from the heavy technology needs of workers staying at home due to the coronavirus pandemic.
Morningstar analyst Dan Romanoff offered mixed commentary on Slack, following its earnings report last month.
“In a repeat of last quarter, no-moat Slack beat our expectations and its own guidance and raised its revenue outlook for the year,” he wrote.
“Unfortunately for management, revenue guidance that is in line with Street expectations may not be enough to quench investors’ thirst for growth. Despite being what seems like an obvious work-from-home enabling technology, Slack is seeing macro-related pressure.”
Romanoff does “see signs of encouragement, including commentary that trends improved as the quarter progressed, including the month of August and even into early September, as well as better-than-anticipated profitability,” he said. “We also think that Slack Connections will help continue to drive viral adoption.”
He puts fair value on Slack shares at $20.