Not Found

2Mon

Revenue was only at the upper end of the company’s own guidance, with Exabytes up 22% compared to 34% year-over-year. The 44% increase in revenue came from price, not volume.
And after a 580% 12-month stock price gain, beating consensus just isn’t enough.

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Yoshika 🦋.@Yoshika

2Mon

@Yoshika
On top of that, the guidance calls for a gross margin of 55–56%, up from 54.4% in Q4. So that’s a one-percentage-point increase—after a nearly four-percentage-point rise last quarter 🤷🏻‍♀️

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jkb92@jkb92

2Mon

@Yoshika Exactly. I really don't understand why people are surprised that a stock drops after earnings when it's just had such a massive rally leading up to them.

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Daniel Kaufmann@Wollitz

2Mon

@Yoshika Well, what do investors expect—that the margin will go up by 4% every quarter? That’s just a pipe dream; there’s been improvement, even if only in small steps. It’s not like you can just slap on a 5% margin increase out of the blue without putting in any real effort. @jkb92 I’m not surprised by the decline in general, but by how steep it is. I just don’t think -14% is justified. Everyone’s entitled to their own opinion—that’s just how I see it 😉

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Yoshika 🦋.@Yoshika

2Mon

@Wollitz
I'm not expecting those 4 points at all. I'm evaluating the stock price, not the company. After a 580% gain, there's simply more factored into the price than just one point.

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Daniel Kaufmann@Wollitz

2Mon

@Yoshika I’d agree with that. A lot of valuations have just skyrocketed too much, and that’s what ends up happening. Of course, I’ve made a very good profit myself because of it, but I still get annoyed by it time and time again. :-) But that’s probably just how it is these days—reactions tend to be a bit more extreme. Unfortunately, I don’t have any experience with this from the distant past. Well, maybe I just need to learn to take it a little more calmly and view it more objectively.

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