What Happened:
Shares of cross border payment processor Flywire (NASDAQ: FLYW) jumped 9.5% in the after-market session after the company reported a "beat and raise" quarter. First quarter results exceeded analysts' revenue, gross margin and earnings per share (EPS) estimates. Revenue guidance for the next quarter was above Consensus, and the full-year revenue guidance was lifted. However, cash burn increased, and adjusted EBITDA guidance was roughly inline. Regardless, it was a strong quarter, with management noting that "it achieved the largest sales quarter in company history, with a record number of clients signed."
What is the market telling us:
Flywire's shares are very volatile and over the last year have had 43 moves greater than 5%. In context of that, today's move is indicating the market considers this news meaningful but not something that would fundamentally change its perception of the business.
Flywire is up 29% since the beginning of the year. Investors who bought $1,000 worth of Flywire's shares at the IPO in May 2021 would now be looking at an investment worth $879.77.
Is now the time to buy Flywire? Access our full analysis of the earnings results here, it's free.