Oracle is A-tier for earnings, with strong growth in cloud and AI infrastructure, but the hybrid model makes valuation difficult and it's not a buy for the creator.
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Every SaaS Earnings Report Ranked from Worst to Best
Investing Moats with VarunMay 28, 2026
The creator reviews SaaS earnings reports, ranking them from worst to best. He expresses strong negative sentiment towards Trade Desk due to slowing growth and competition, but is bullish on AppLovin for its AI capabilities in ad tech and potential in e-commerce. Service Now is seen as a high-quality business with AI tailwinds despite a market overreaction to margin guidance, while Salesforce is viewed as a mature cash flow story rather than a growth play.
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Cloudflare is rated C-tier for earnings and valuation due to declining gross margins, workforce cuts, and the need for significant revenue growth to justify its model.
Atlassian, known for Jira and Confluence, is experiencing strong headline growth of 32% and is relied upon by engineering teams, suggesting a positive outlook.
Workday provides HR software but is described as 'mid' with unimpressive leadership and high stock-based compensation impacting its valuation, leading the creator to believe better options exist in the SaaS space.
SAP, which runs the back office for large enterprises, is seen as a sticky business with good earnings (B tier) and a fair valuation (B tier), making it a solid hold for existing investors.
Despite revenue growth, Duolingo's stock fell as the creator views consumer SaaS as difficult and places the company in the C tier due to its 'two hard' valuation and the potential for users to simply stop learning.
Palo Alto Networks is a strong player in cybersecurity with a compelling platform story, but integration costs are hurting EPS guidance, leading the creator to hold rather than buy.
Zscaler's stock dropped significantly despite beating Q3 earnings due to a sharp decrease in growth guidance, and the creator places it in the D tier, citing competition and slowing growth.
Intuit is a cheap company with a good QuickBooks business, but AI is a negative for TurboTax and Mailchimp is commoditized, making it a hold for those who like the stock.
Toast is a solid business with a lot of runway, but the current valuation is too high, and investors should wait for a cheaper entry point.
Despite good Q1 numbers, monday.com is considered a low-quality business with low switching costs and potential automation by AI, making it not worth investing in.
Data Dog is a strong performer with accelerating revenue and sticky customer relationships, making it an S-tier company, but the current valuation is too high for a new buy.
HubSpot's stock dropped 20% due to missed guidance and declining organic traffic, exacerbated by AI search, making it unattractive currently.
Shopify is a high-quality business with strong pricing power, but its current valuation is too high, and the author would only buy if the price were halved.
Snowflake is an S-tier investment with accelerating revenue growth, improving net revenue retention, and AI tailwinds, but investors should wait for a pullback.
Salesforce is a mature cash flow story rather than a growth stock, with high switching costs due to its ecosystem, but organic growth is now in the single digits.
Service Now is a high-quality business with strong fundamentals and AI tailwinds, making its recent stock drop a market overreaction and presenting a reasonable entry point.
AppLovin is a strong buy due to its dominant position in mobile gaming ads, impressive AI capabilities, and potential expansion into e-commerce, with excellent financial metrics and guidance.
The creator strongly advises against investing in Trade Desk, citing decelerating revenue growth, lack of data ownership, and new competition from Amazon.