- Agosto 18, 2023
- Posted by: Oliver
- Categoria: Economics, Finance & accounting
There were other misses too. Average daily active users climbed 25% year-over-year to 65.5 million but came in just below the analysts’ expectation for 65.8 million. Average bookings per daily active user recorded a 3% drop to $11.92, also falling just shy of consensus.
On the plus side, bookings reached $780.7 million, a 22% YoY increase that came in above the Street’s call by $2.72 million.
However, that was far from enough and it’s safe to say investors were not pleased with the results, with shares cratering by 22% in Wednesday’s session. That said, for BTIG analyst Clark Lampen, the latest readout doesn’t make that much of a difference to his overall thesis.
“Big picture,” says the analyst, “we exit the print without our model or expectations changing a great deal, and believe the risk/reward is skewed favorably with catalysts to look forward to over the balance of the year (continued rollout and adoption of ad solutions, quantification of ads/’24 guidance at the ’23 investor day, expansion of UGC/limited items, proliferation of AI development tools, and more). Despite that, we understand that investors may have some hesitation with the setup from here until we get to a point where there is a more concrete setup with forward estimates, or bridges.”
All told, Lampen sticks with a Buy rating although the price target is lowered from $60 to $54. Still, the new objective suggests shares have room for growth of 83% over the coming year.
Most analysts agree with that take, although not all are on board. Based on 12 Buys, 2 Holds and 4 Sells, the stock claims a Moderate Buy consensus rating. The majority feel the shares are now somewhat undervalued; going by the $39.18 average target, a year from now they will be changing hands for a 31% premium.
