Q: Please comment on lastest Q results(negative market reaction) and the co.Add,Hold or Sell.Txs for u usual great services & opinions
5i Research Answer:
EPS of -1c missed estimates of +28c; revenue of $2.76B beat estimates of $1.92B. EBITDA of $139.0M missed estimates by 5%. The stock is down 9% in two days but did have a good 10 day streak going into the print. The loss is related to unrealized losses on financial hedges, some higher recurring costs and higher deprecation charges. SG&A costs also rose. The company hyped up its Chauvinism acquisition somewhat. The forecast calls for relatively flat earnings this year but a pretty good jump for 2027. The stock remains up 9% YTD. Not great numbers, but nothing of major concerns here.