Programmatic advertising platform Pubmatic (NASDAQ: NASDAQ:PUBM) will be reporting earnings tomorrow afternoon. Here's what to look for.
Last quarter PubMatic reported revenues of $63.3 million, flat year on year, beating analyst revenue expectations by 5.9%. It was a weaker quarter for the company, with underwhelming revenue guidance for the next quarter and its net revenue retention rate in jeopardy.
Is PubMatic buy or sell heading into the earnings? Find out by reading the original article on StockStory.
This quarter analysts are expecting PubMatic's revenue to decline 7.8% year on year to $59.5 million, a further deceleration on the 11% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.01 per share.
Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company missed Wall St's revenue estimates twice over the last two years.
Looking at PubMatic's peers in the sales and marketing software segment, some of them have already reported Q3 earnings results, giving us a hint what we can expect. Zeta delivered top-line growth of 24.1% year on year, beating analyst estimates by 5.7% and Sprout Social (NASDAQ:SPT) reported revenues up 31% year on year, exceeding estimates by 1.6%. Zeta traded flat on the results, Sprout Social was up 16.9%.
Read the full analysis of Zeta's and Sprout Social's results on StockStory.
Tech stocks have been under pressure and while some of the sales and marketing software stocks have fared somewhat better, they have not been spared, with share price declining 4.4% over the last month. PubMatic is down 1.1% during the same time, and is heading into the earnings with analyst price target of $18.4, compared to share price of $12.1.
The author has no position in any of the stocks mentioned.