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 gig economy stocks, starting with Fiverr (NYSE:FVRR).
The iPhone changed the world, ushering in the era of the “always-on” internet and “on-demand” services - anything someone could want is just a few taps away. Likewise, the gig economy sprang up in a similar fashion, with a proliferation of tech-enabled freelance labor marketplaces, which work hand and hand with many on demand services. Individuals can now work on demand too. What began with tech enabled platforms that aggregated riders and drivers has expanded over the past decade to include food delivery, groceries, and now even a plumber or graphic designer are all just a few taps away.
The 4 gig economy stocks we track reported a decent Q1; on average, revenues beat analyst consensus estimates by 4.3%, while on average next quarter revenue guidance was 6.34% under consensus. Technology stocks have been hit hard on fears of higher interest rates and while some of the gig economy stocks have fared somewhat better, they have not been spared, with share price declining 19.2% since earnings, on average.
Based in Tel Aviv, Fiverr (NYSE: FVRR) operates a fixed price global freelance marketplace for digital services.
Fiverr reported revenues of $86.6 million, up 26.8% year on year, missing analyst expectations by 0.01%. It was a weak quarter for the company, with revenue guidance for both the next quarter and the full year below analysts' estimates.
“Millions of businesses continue to turn to Fiverr to find a freelancer, as they enjoy the unmatched convenience, speed and selection of the on-demand digital services we provide,“ said Micha Kaufman, founder and CEO of Fiverr.
Fiverr delivered the weakest performance against analyst estimates of the whole group. The company reported 4.2 million active buyers, up 10.5% year on year. The stock is down 16.7% since the results and currently trades at $33.98.
Is now the time to buy Fiverr? Access our full analysis of the earnings results here, it's free.
Best Q1: Uber (NYSE:UBER)
Born out of a winter night thought: "What if you could request a ride from your phone?" Uber (NYSE: UBER) operates a global network of on demand services, most prominently ride hailing and food delivery, and freight.
Uber reported revenues of $6.85 billion, up 136% year on year, beating analyst expectations by 12.3%. It was a very strong quarter for the company, with an impressive beat of analyst estimates and an exceptional revenue growth.
Uber delivered the strongest analyst estimates beat and fastest revenue growth among its peers. The company reported 115 million paying users, up 11.6% year on year. The stock is down 25.9% since the results and currently trades at $21.83.
Is now the time to buy Uber? Access our full analysis of the earnings results here, it's free.
Slowest Q1: Angi (NASDAQ:ANGI)
Created by IAC’s mergers of Angie’s List and HomeAdvisor, ANGI (NASDAQ: ANGI) operates the largest online marketplace for home services in the US.
Angi reported revenues of $436.1 million, up 12.6% year on year, beating analyst expectations by 1.38%. It was a weak quarter for the company, with declining number of users and a slow revenue growth.
Angi had the slowest revenue growth in the group. The company reported 6.7 million service requests, down 13.1% year on year. The stock is up 17% since the results and currently trades at $4.19.
Founded by Logan Green and John Zimmer as a long-distance intercity carpooling company Zimride, Lyft (NASDAQ: LYFT) operates a ridesharing network in the US and Canada.
Lyft reported revenues of $875.5 million, up 43.7% year on year, beating analyst expectations by 3.46%. Despite the stock dropping on the results, it was still a decent quarter for the company, with strong revenue growth and growing number of users.
The company reported 17.8 million paying users, up 31.9% year on year. The stock is down 51.4% since the results and currently trades at $14.89.
The author has no position in any of the stocks mentioned