Overview
Yext fiscal Q3 revenue falls 2% yr/yr, missing analyst expectations
Adjusted net income for fiscal Q3 slightly beats analyst estimates
Company considering non-binding acquisition proposal
Outlook
Yext did not provide specific financial guidance due to pending acquisition proposal
Result Drivers
REVENUE DECLINE - Revenue decreased by 2% yr/yr to $112 mln, attributed to lower demand and competitive pressures
OPERATING EXPENSES REDUCTION - Operating expenses decreased significantly, contributing to a positive net income
ACQUISITION PROPOSAL - Company is reviewing a non-binding acquisition proposal, affecting its strategic decisions
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Miss | $112 mln | $113.13 mln (4 Analysts) |
Q3 Adjusted EPS | $0.14 | ||
Q3 EPS | $0.05 | ||
Q3 Adjusted Net Income | Slight Beat* | $17.5 mln | $17.45 mln (4 Analysts) |
Q3 Net Income | $6.10 mln | ||
Q3 Gross Margin | 73.9% | ||
Q3 Annual Recurring Revenue | $444.4 mln |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 3 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the online services peer group is "buy"
Wall Street's median 12-month price target for Yext Inc is $9.75, about 9.9% above its December 5 closing price of $8.87
The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 16 three months ago
Press Release: ID:nBw17nS25a
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)