OpenTable Earnings: Here’s Why the Stock is Down Now

OpenTable, Inc. (NASDAQ:OPEN) delivered a profit and beat Wall Street’s expectations, BUT came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 1.58%.

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OpenTable, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 12.5% to $0.45 in the quarter versus EPS of $0.40 in the year-earlier quarter.

Revenue: Rose 15.57% to $45.5 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: OpenTable, Inc. reported adjusted EPS income of $0.45 per share. By that measure, the company beat the mean analyst estimate of $0.43. It missed the average revenue estimate of $45.58 million.

Quoting Management: “We’re pleased with seated diner growth during the first quarter in both our North America and International business segments,” said Matt Roberts, President and CEO of OpenTable. “More than one third of the 34 million diners we seated in North America during the quarter were attributable to mobile, and we’re continuing to optimize our mobile products around the globe to further capitalize on the opportunity.”

Key Stats (on next page)…

Revenue increased 5.89% from $42.97 million in the previous quarter. EPS decreased 2.17% from $0.46 in the previous quarter.

Looking Forward: Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.48 to a profit $0.47. For the current year, the average estimate has moved down from a profit of $1.93 to a profit of $1.91 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)