Online reputation and search platform Yext (NYSE:YEXT) will be announcing earnings results today after market hours. Here’s what to look for.
Yext met analysts’ revenue expectations last quarter, reporting revenues of $101.1 million, flat year on year. It was a weak quarter for the company, with management forecasting growth to slow and underwhelming revenue guidance for the next quarter.
Is Yext a buy or sell going into earnings? Read our full analysis here, it’s free.
This quarter, analysts are expecting Yext’s revenue to decline 3.1% year on year to $96.33 million, a deceleration from its flat revenue in the same quarter last year. Adjusted earnings are expected to come in at $0.06 per share.
The majority of analysts covering the company have reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Yext has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Yext’s peers in the sales and marketing software segment, some have already reported their Q1 results, giving us a hint as to what we can expect. SEMrush delivered year-on-year revenue growth of 21.1%, meeting analysts’ expectations, and AppLovin reported revenues up 47.9%, topping estimates by 8.6%. SEMrush traded up 11.2% following the results while AppLovin was also up 14.4%.
Read our full analysis of SEMrush’s results here and AppLovin’s results here.
Inflation fears have put pressure on growth stocks, and while some of the sales and marketing software stocks have fared somewhat better, they have not been spared, with share prices down 5.1% on average over the last month. Yext is down 4.8% during the same time and is heading into earnings with an average analyst price target of $7.8 (compared to the current share price of $5.21).
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