E-commerce software company Commerce (NASDAQ:CMRC) will be announcing earnings results this Thursday before market open. Here’s what investors should know.
Commerce met analysts’ revenue expectations last quarter, reporting revenues of $86.03 million, up 2.8% year on year. It was a mixed quarter for the company, with an impressive beat of analysts’ EBITDA estimates but revenue guidance for next quarter meeting analysts’ expectations.
Is Commerce a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, analysts are expecting Commerce’s revenue to grow 3.7% year on year to $90.26 million, in line with the 3.4% increase it recorded in the same quarter last year. Adjusted earnings are expected to come in at $0.07 per share.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Commerce has missed Wall Street’s revenue estimates twice over the last two years.
Looking at Commerce’s peers in the sales and marketing software segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Freshworks delivered year-on-year revenue growth of 14.5%, beating analysts’ expectations by 1.8%, and ZoomInfo reported revenues up 3.2%, topping estimates by 3.2%. ZoomInfo traded down 9.5% following the results.
Read our full analysis of Freshworks’s results here and ZoomInfo’s results here.
The euphoria surrounding Trump’s November win lit a fire under major indices, but potential tariffs have caused the market to do a 180 in 2025. Investors in sales and marketing software stocks have been spared in this environment as share prices are down 16.8% on average over the last month. Commerce is down 27.4% during the same time and is heading into earnings with an average analyst price target of $6.50 (compared to the current share price of $3.02).
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