Smartsheet Inc.’s first-quarter results were hamstrung by the Covid-19 pandemic as demand and sales cycles were hurt across a range of its segments and management cut its expectations for the year.
Jefferies analyst Brent Thill said expectations were elevated going into the earnings and that Smartsheet “unfortunately fell victim to a weaker business environment due to Covid-19.” Thill said bears will also point to a material accounting weakness and reduced close rates. Smartsheet’s stock fell the most on record, sinking 23% at 10:08 a.m. Thursday, after shares closed at a record high on Monday.
