Limelight Networks, Inc. (NASDAQ: LLNW)
Limelight Networks, Inc. | $LLNW Stock | Shares Increase On Better than Expected Earnings
Limelight Networks, Inc. (LLNW), a global company that provides content delivery network services to deliver digital content over the Internet yesterday reported their first quarter 2017 financial results.
Limelight reported a loss of $3.3 million in the first quarter. Limelight reported first quarter adjusted earnings of $0.02 per share which beat analyst expectations of breakeven. Limelight reported first quarter revenues of $44.7 million which beat analyst expectations of $43.4 million.
Limelight Networks, Inc. CEO’s Comments
“Our first quarter results were strong, and ahead of expectations. We have a clear strategy to deliver against aggressive targets for 2017. Strong execution in the first quarter demonstrates our ability to successfully navigate through continuous changes in a healthy industry. Our customers are trusting us with more of their business, our employee turnover is at the lowest level in years, our financial performance is improving across multiple dimensions, and overall our competitive position is stronger than ever,” said Bob Lento, Chief Executive Officer at Limelight.
“We are all very proud of the many operational achievements that Limelight’s talented staff are driving, which are manifesting in improving financial results, accelerating business growth, and increasing market share. Pricing discipline is evident in our robust gross margin improvement, and increasingly, we are winning business based on service quality and capabilities, rather than purely on pricing. Based on the strong foundation we have laid, and the strength of our first quarter, we are raising the full year guidance across multiple measures,” Mr. Lento added. Business Wire
LLNW Technical Analysis
Limelight Networks Chart
LLNW opened trading yesterday at $2.70 which was up from the previous day’s trading close of $2.65. Shares closed trading yesterday at $2.75 and spiked up after market to $3.04, equivalent to a 11% increase from the closing price. Taking a look at the daily chart we can see that the last time LLNW traded above these levels we have to go back to April 12th, 2015 when it traded at $3.26.
Taking a closer look at the daily chart we can see that before the spike up LLNW had already been in an overall upward trend dating back to November 3rd, 2016 when it traded at $1.72. LLNW has a float of 72.32 million shares, which is kind of high for penny stocks, and traded 2.67 times the normal daily trading volume on Monday.
For trading purposes, I would like to see LLNW open trading on Tuesday above $2.95 and if it does I would be looking to take a long position at the bell. My stop order would be $0.05 from my entry position fearing anything more than that and the stock would start to fill in the gap up.
Company Profile
Limelight Networks, Inc. provides content delivery network services to deliver digital content over the Internet in the Americas, Europe, the Middle East, Africa, and the Asia Pacific.
The company offers the Orchestrate Platform, a suite of integrated services, which include content delivery services, mobile delivery services, video content management services, performance services for Website and Web application acceleration and security, cloud storage services for various devices, and cloud-based content security services.
It also offers professional services and other infrastructure services, such as transit and rack space services. The company serves traditional and emerging media companies operating in the television, music, radio, newspaper, magazine, movie, game, software, and social media industries, as well as enterprises, technology companies, and government entities conducting business online. Limelight Networks, Inc. was founded in 2001 and is headquartered in Tempe, Arizona.”