Amplitude (AMPL) Reports Earnings Tomorrow. What To Expect

Kayode Omotosho /
2022/05/03 7:06 am EDT
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Data analytics software provider Amplitude (NASDAQ:AMPL) will be announcing earnings results tomorrow after market close. Here's what to expect.

Last quarter Amplitude reported revenues of $49.4 million, up 75.1% year on year, beating analyst revenue expectations by 5.26%. Despite the strong top-line result, it was a weaker quarter for the company, with the guidance for both the next quarter and the full year missing analysts' estimates. The company added 180 customers to a total of 1,597.

Is Amplitude buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Amplitude's revenue to grow 40.5% year on year to $50.8 million, slowing down from the 57.2% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted loss is expected to come in at -$0.10 per share.

Amplitude Total Revenue

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 has a history of exceeding Wall St's expectations, beating revenue estimates every single time since going public on average by 4.81%.

With Amplitude being the first among its peers to report earnings this season, we don't have anywhere else to look at to get a hint at how this quarter will unravel for data and analytics software stocks, but the whole sector has been facing a sell-off since late last year, with stocks down on average 16.9% over the last month. Amplitude is down 10.3% during the same time, and is heading into the earnings with analyst price target of $34.6, compared to share price of $17.58.

One way to find opportunities in the market is to watch for generational shifts in the economy. Almost every company is slowly finding itself becoming a technology company and facing cybersecurity risks and as a result, the demand for cloud-native cybersecurity is skyrocketing. This company is leading a massive technological shift in the industry and with revenue growth of 70% year on year and best-in-class SaaS metrics it should definitely be on your radar.

The author has no position in any of the stocks mentioned.