Web.com Group Earnings: Here’s Why the Stock is Up Now
Web.com Group, Inc. (NASDAQ:WWWW) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 1.24%.
Web.com Group, Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share increased 34.21% to $0.51 in the quarter versus EPS of $0.38 in the year-earlier quarter.
Revenue: Rose 32.79% to $131.4 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Web.com Group, Inc. reported adjusted EPS income of $0.51 per share. By that measure, the company beat the mean analyst estimate of $0.49. It beat the average revenue estimate of $130.64 million.
Quoting Management: “Web.com posted strong results for the second quarter, with both revenue and profitability exceeding the high end of our guidance,” said David Brown, Chairman and CEO of Web.com. “We are delivering on our strategy of consistently and profitably adding net subscribers, generating average revenue per user expansion across our three million plus subscribers and achieving best-in-class customer retention levels.”
Key Stats (on next page)…
Revenue increased 13.72% from $115.55 million in the previous quarter. EPS increased 6.25% from $0.48 in the previous quarter.
Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.51 to a profit $0.52. For the current year, the average estimate has moved up from a profit of $2.02 to a profit of $2.04 over the last ninety days.
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