Shutterstock (SSTK) Reports Q1: Everything You Need To Know Ahead Of Earnings

Petr Huřťák /
2023/04/24 2:10 am EDT

Stock photography and footage provider Shutterstock (NYSE:SSTK) will be announcing earnings results tomorrow before market open. Here's what to look for.

Last quarter Shutterstock reported revenues of $217.7 million, up 5.8% year on year, beating analyst revenue expectations by 6.2%. It was a strong quarter for the company, with growing number of users and a solid beat of analyst estimates. The company reported 0.59 million paying users, up 70.8% year on year.

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This quarter analysts are expecting Shutterstock's revenue to grow 6.23% year on year to $211.5 million, slowing down from the 8.65% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.04 per share.

Shutterstock 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 missed Wall St's revenue estimates three times over the last two years.

Looking at Shutterstock's peers in the consumer internet segment, some of them have already reported Q1 earnings results, giving us a hint of what we can expect. Netflix delivered top-line growth of 3.73% year on year, missing analyst estimates by 0.2%.  Netflix traded down 5.95% on the result. Read our full analysis of Netflix's results here.

Investors in the consumer internet segment have had steady hands going into the earnings, with the stocks up on average 1.37% over the last month. Shutterstock is down 10.2% during the same time, and is heading into the earnings with analyst price target of $86.4, compared to share price of $66.82.

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