It’s the most wonderful time of the quarter – earnings season. Quite a few stocks are seeing big pops and drops today, so let’s take a quick look at five that are getting a lot of attention.
Twilio crushes estimates again
Twilio Inc. (NYSE: TWLO) is soaring over 34% following its better-than-expected third-quarter results after the market closed yesterday. The cloud communications company reported revenue of $168.9 million and adjusted EPS of $0.07, which easily beat expectations of $150.5 million in revenue and $0.02 in adjusted EPS. On a year-over-year basis, its revenue increased 68% and its adjusted EPS improved by $0.15 from a loss of $(0.08).
Twilio also provided better-than-expected outlook on the fourth quarter, calling for revenue of $183 million-$185 million and adjusted EPS of $0.03-$0.04, crushing analysts’ expectations of revenue of $161.4 million and adjusted EPS of $0.02.
SendGrid soars alongside Twilio
Like Twilio, shares of SendGrid Inc. (NYSE: SEND) are up more than 34%. SendGrid agreed to be acquired by Twilio back in October, and its shareholders will receive 0.485 shares of Twilio for each share of SendGrid that they own. This means that SendGrid’s stock will essentially track Twilio’s until the deal closes, which is expected to occur in the first half of 2019.
It also helps that SendGrid reported very strong earnings results of its own yesterday afternoon, which included revenue growth of 31% to $37.2 million and adjusted EPS growth of 150% to $0.05.
Turtle Beach falls despite strong results
Turtle Beach Corp. (Nasdaq: HEAR) is down over 13% despite reporting better-than-expected third-quarter earnings results after the market closed yesterday. The gaming headset maker reported revenue of $74.4 million and EPS of $0.91, which beat analysts’ expectations of $73.4 million and $0.77, respectively, and also beat the preliminary results it provided back in October. On a year-over-year basis, its revenue rose 107% and its EPS improved by $0.95 from a loss of $(0.04).
Turtle Beach also raised its full-year outlook, now calling for revenue growth of 81% year-over-year to $270 million and EPS of approximately $2.55 compared with a loss of $(0.26) in 2017.
Match Group sinks on weak outlook
Match Group Inc. (Nasdaq: MTCH) is tanking over 18% following the release of its third-quarter earnings results after the market closed yesterday. Tinder’s parent company reported revenue of $444 million and adjusted EPS of $0.39, which surpassed analysts expectations of $438 million and $0.35, respectively. On a year-over-year basis, its revenue increased 29% and its adjusted EPS increased 105.3%.
While Match’s third-quarter results beat expectations, the sentiment turned negative when it provided its outlook on the fourth quarter. The company stated that it expects revenue in the range of $440 million-$450 million, which came up short of the consensus analyst estimate of $454 million.
Michael Kors’ sales come up short
Michael Kors Holdings Ltd. (NYSE: NYSE) is down over 14% following the release of its fiscal 2019 second-quarter earnings results this morning. The global fashion company reported revenue of $1.25 billion and adjusted EPS of $1.27, which came in mixed compared with analysts’ expectations of $1.26 billion in revenue and $1.10 in adjusted EPS. On a year-over-year basis, its revenue increased 9.3% and its adjusted EPS decreased 4.5%.
It’s also worth noting that Michael Kors raised its full-year outlook, now calling for adjusted EPS in the range of $4.95-$5.05, but the median of this outlook fell short of the consensus analyst estimate of $5.03.