What’s Happening with 8×8’s Shares?
According to the Motley Fool, the prices for shares of the leading cloud-based communications company dropped suddenly on the 30th of January, falling by a total of 10%.
The price plunge came shortly after 8×8 revealed their third-quarter fiscal earning results, which included a decision to reduce their outlook predictions for the year.
Why the Sudden Dip in Worth?
An evaluation of the third-quarter results for 8×8 shows a revenue income of around $89.9 million, which, as the Motley Fool pointed out, translates to a loss of about $0.06 per share (non-GAAP loss of $5.5 million). Before these results were announced, industry analysts had suggested that company would generate about $88.6 million in sales, so 8×8 came out a little bit ahead.
Revenue from the services section of the 8×8 business saw a significant increase of around 20%, ($85.9 million), and sales from larger enterprise customers buying more than $10,000 worth of monthly-recurring solutions jumped up by an incredible 61%. What’s more, the service revenue for each business customer in the mid-market and enterprise section rose to $5,211. All-in-all, the third-quarter results don’t seem bad enough to prompt such a significant share price plunge.
Are People Losing Faith in 8×8?
If you’re wondering why 8×8 saw such a severe hit in the stock market at the end of January, your guess is as good as ours. According to CEO Vikram Verma, the company delivered a pretty substantial quarter of growth and development. The quarter ended with 8×8 ahead of their financial predictions, and, as Verma noted, 8×8 are also in the process of disrupting a market with significant potential for profit. The cloud solutions environment is a $50 billion space.
So, why the change of heart for 8×8 investors? The Motley Fool suggests that it might be something to do with 8×8’s decision to reduce their forecast for the complete fiscal year of 2019. The prediction was decreased only slightly, from a range of $334 million to $338 million to a range of $334 million to $335 million. The company has also predicted that it’s non-GAAP loss for 2019 to be around $19 million.
Additionally, for the fourth quarter of the year, 8×8 has suggested that service revenue will deliver between $886 million and $89.6 million, with a pre-tax non-GAAP loss of $7 to $8 million.
We’ll have to wait and see whether any further announcements shed light on the confusing situation in the share market for 8×8.
source uctoday
Industry: Unified Communications News
Latest Jobs
-
- SailPoint Integration Consultant
- Unknown
- Upto £75000 plus benefits
-
SailPoint Integration Consultant. SailPoint Integration Consultant is needed for this expanding service business to help them with complex deployment with their FTSE focused customer base. They are looking for experienced SailPoint Integration Consultants who have: • Strong solution designing experience with in depth understanding of IAM concepts and thorough understanding of Sailpoint domain. • Thorough understanding of Identity and Access Governance concepts • Leading and creating Identity & Access Management (IAM) technical architecture • Secure by Design principles in Identify Access management, Privilege Access management • Familiar with cloud architectures, data management and source control from a security perspective. This is a great opportunity to join a business that is growing and looking for individuals who want to grow and develop and work on some of the most complex Sailpoint deployments.
-
- CyberArk Integration Consultant
- Greater London
- upto 75,000 plus benefits
-
CyberArk Integration Consultant. CyberArk Integration Consultant is needed for this expanding service business to help them with complex deployment with their FTSE focused customer base. They are looking for experienced CyberArk Integration Consultants who have: • Strong solution designing experience with in depth understanding of IAM concepts and thorough understanding of CyberArk domain. • Thorough understanding of Identity and Access Governance concepts • Leading and creating Identity & Access Management (IAM) technical architecture • Secure by Design principles in Identify Access management, Privilege Access management • Familiar with cloud architectures, data management and source control from a security perspective. This is a great opportunity to join a business that is growing and looking for individuals who want to grow and develop and work on some of the most complex CyberArk deployments.
-
- Penetration Tester, UK based. Ability to achieve SC clearance
- United Kingdom
- 55000
-
Experienced Penetration tester- UK based with the ability to achieve SC clearance. On-going training and development and paid certifications / renewals. Interested to hear from all areas of penetration testing, web app, infrastructure, mobile, etc. MUST have current hands on experience delivering penetration testing. Ideally from a consultancy background with experience working with multiple clients. OSCP / CREST / CHECK / Tigerscheme penetration testing experience / certifications desirable. Apply today for more details. All information kept in the strictest of confidence.
-
- Senior Data Privacy Specialist, London. CIPT
- London
- 60000
-
REF CH7875 £60,000 Senior Data Privacy Specialist, London. CIPT Senior Data Privacy Specialist needed to help advise client on project and programmes relating to Data Privacy and compliance. UK based role. Ideally looking for someone that has a strong appreciation of technology and Data Privacy that can work with clients to develop or enhance their strategies, policies, processes and techniques to manage cybersecurity risks while enabling business driven data. Certified Information Privacy Technologists (CIPT), Certified Information Privacy Professional/Europe CIPP/E experience and or certification highly desirable. Specific experience within the healthcare industry is of particular interest. All details kept in confidence Apply today for more information