As the craze of earnings season draws to a close, here's a look back at some of the most exciting (and some less so) results from Q1. Today we are looking at the sales and marketing software stocks, starting with Upland Software (NASDAQ:UPLD).
The Internet and the exploding amount of data have transformed how businesses interact with, market to, and transact with their customers. Personalization of offerings, e-commerce, targeted advertising and data-empowered sales teams are now table stakes for modern businesses, and sales and marketing software providers are becoming the tools of evolving customer interaction.
The 23 sales and marketing software stocks we track reported a weak Q1; on average, revenues beat analyst consensus estimates by 2.49%, while on average next quarter revenue guidance was 0.04% under consensus. Tech stocks have had a rocky start in 2022, but sales and marketing software stocks held their ground better than others, with share price down 8.4% since earnings, on average.
Upland Software (NASDAQ:UPLD)
Founder Jack McDonald’s second software rollup, Upland Software (NASDAQ:UPLD) is a one stop shop for sales and marketing software, project management, HR, and contact center services for small and medium sized businesses.
Upland Software reported revenues of $78.7 million, up 6.41% year on year, beating analyst expectations by 2.53%. It was a mixed quarter for the company, with a decent beat of analyst estimates but a slow revenue growth.
"We had a strong Q1, beating our guidance midpoints on revenue and Adjusted EBITDA, and outperforming our targets on operating and free cash flow," said Jack McDonald, Upland's chairman and chief executive officer.
The stock is down 21.9% since the results and currently trades at $12.06.
Best Q1: DoubleVerify (NYSE:DV)
When Oren Netzer saw a digital ad for US-based Target while sitting in his Tel Aviv apartment, he knew there was an unsolved problem, so he started DoubleVerify (NYSE: DV), a provider of advertising solutions to businesses that helps with ad verification, fraud prevention, and brand safety.
DoubleVerify reported revenues of $96.7 million, up 43.1% year on year, beating analyst expectations by 7.58%. It was a very strong quarter for the company, with an exceptional revenue growth and an impressive beat of analyst estimates.
DoubleVerify delivered the strongest analyst estimates beat among its peers. The stock is up 32.6% since the results and currently trades at $24.23.
Is now the time to buy DoubleVerify? Access our full analysis of the earnings results here, it's free.
Weakest Q1: ON24 (NYSE:ONTF)
Started in 1998 as a platform to broadcast press conferences, ON24’s (NYSE:ONTF) software helps organizations organize online webinars and other virtual events and convert prospects into customers.
ON24 reported revenues of $48.4 million, down 3.21% year on year, beating analyst expectations by 2.08%. It was a weak quarter for the company, with a full year guidance missing analysts' expectations and a slow revenue growth.
ON24 had the slowest revenue growth and weakest full year guidance update in the group. The stock is down 13.2% since the results and currently trades at $9.34.
Previously known as SurveyMonkey, Momentive (NASDAQ:MNTV) offers software as a service that makes it easy for users create, manage and distribute online surveys.
Momentive reported revenues of $116.9 million, up 14.3% year on year, in line with analyst expectations. It was a slower quarter for the company, with an underwhelming revenue guidance for the next quarter.
The company added 5,700 customers to a total of 894,400. The stock is down 35.3% since the results and currently trades at $9.25.
Founded in Israel in 2011, WalkMe (NASDAQ:WKME) is software that teaches users how to get the most out of new applications.
WalkMe reported revenues of $56.8 million, up 33.2% year on year, beating analyst expectations by 1.33%. It was a decent quarter for the company with strong top-line growth but an underwhelming revenue guidance for the next quarter.
The stock is down 27% since the results and currently trades at $8.91.
The author has no position in any of the stocks mentioned