Virtual events software company (NYSE:ONTF) will be reporting results tomorrow after the bell. Here's what to look for.
Last quarter ON24 reported revenues of $39.22 million, down 17.6% year on year, beating analyst revenue expectations by 3.3%. It was a decent quarter for the company, with optimistic revenue guidance for the next quarter.
Is ON24 buy or sell heading into the earnings? Read our full analysis here, it's free.
This quarter analysts are expecting ON24's revenue to decline 20% year on year to $37.26 million, a further deceleration on the 10.5% year-over-year decrease in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.02 per share.
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 over the past two years on average by 1.6%.
Looking at ON24's peers in the sales and marketing software segment, some of them have already reported Q4 earnings results, giving us a hint what we can expect. Shopify delivered top-line growth of 23.6% year on year, beating analyst estimates by 3.4% and HubSpot reported revenues up 23.9% year on year, exceeding estimates by 4.1%. Shopify traded down 8.3% on the results, HubSpot was up 5.3%.
Read our full analysis of Shopify's results here and HubSpot's results here.
Investors in the sales and marketing software segment have had steady hands going into the earnings, with the stocks down on average 0.3% over the last month. ON24 is up 5.8% during the same time, and is heading into the earnings with with analyst price target of $9, compared to share price of $8.05.
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