In 1Q 2021, TeamViewer has benefited from new use cases, new products, and larger customers. My investment thesis, which I described in more detail in another article, is intact. TeamViewer is thus in a position to grow strongly even one year after the extreme demand for remote products due to the COVID-19 crisis. Growth in adjusted EBITDA of 22 percent was also strong, while the gross margin remained with 93 (!) percent well above 90 percent. Adjusted for foreign currency effects, billings increased by even 26 percent. Billings grew 22 percent compared to 1Q 2020. The 1Q results are not bad at all and within the expected range. Nevertheless, the associated uncertainty weighed on the share price, and it seems that the 1Q results were not enough to dispel this uncertainty. From my perspective, both deals and their consequences were already sufficiently priced into the share price. I already explained the background of the deals and gave my opinion ( see here). The EBITDA margin is expected to decline from 56 percent to 49-51 percent in 2021 due to these deals. TeamViewer has announced that it will sponsor the Manchester United soccer club and the Mercedes Formula 1 team. Furthermore, two rather expensive marketing deals have caused doubts among investors. Firstly, the share already consolidated due to the fear of inflation and rising interest rates. TeamViewer stock has been a bit shaky lately. But for long-term investors, this opens up another opportunity to gradually buy shares in an excellent company at a fair price. I cannot say how long it will take the market to realize that it is overreacting. In my view, we see a classic market overreaction. At the time as I write this article, the share is down more than 10 percent. With the announcement of the quarterly figures, the TeamViewer ( OTCPK:TMVWY) ( OTCPK:TMVWF) share fell sharply. Photo by NanoStockk/iStock via Getty Images

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