Fiverr International (NYSE:FVRR) Shares Gap Down on Disappointing Earnings

Key Points

• Fiverr International experienced a significant stock gap down from $25.01 to $22.76 after reporting weaker-than-expected earnings of $0.69 per share, missing the analysts' consensus estimate of $0.72.
• The company's revenue increased by 14.7% year-over-year to $108.65 million, exceeding the consensus estimate, despite the EPS miss.
• Analysts generally remain optimistic, with several firms raising their price targets; the current consensus rating for Fiverr International is a "Moderate Buy" with an average price target of $36.00.

Fiverr International (NYSE:FVRR - Get Free Report)'s share price gapped down prior to trading on Wednesday following a dissappointing earnings announcement. The stock had previously closed at $25.01, but opened at $22.76. Fiverr International shares last traded at $21.99, with a volume of 841,515 shares changing hands.

The company reported $0.69 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.72 by ($0.03). The firm had revenue of $108.65 million for the quarter, compared to analyst estimates of $107.75 million. Fiverr International had a net margin of 4.34% and a return on equity of 11.87%. The company's revenue for the quarter was up 14.7% on a year-over-year basis. During the same period in the previous year, the firm earned $0.58 earnings per share.

Wall Street Analyst Weigh In

Several analysts recently issued reports on FVRR shares. Wall Street Zen downgraded shares of Fiverr International from a "strong-buy" rating to a "buy" rating in a report on Sunday, June 29th. The Goldman Sachs Group upped their price objective on shares of Fiverr International from $41.00 to $47.00 and gave the stock a "buy" rating in a report on Thursday, May 8th. Royal Bank Of Canada reduced their price target on shares of Fiverr International from $35.00 to $28.00 and set a "sector perform" rating for the company in a report on Thursday. Citigroup reduced their price target on shares of Fiverr International from $40.00 to $33.00 and set a "buy" rating for the company in a report on Thursday. Finally, JPMorgan Chase & Co. raised shares of Fiverr International from a "neutral" rating to an "overweight" rating and reduced their price target for the company from $32.00 to $30.00 in a report on Thursday. Five analysts have rated the stock with a hold rating and six have assigned a buy rating to the stock. Based on data from MarketBeat.com, Fiverr International has a consensus rating of "Moderate Buy" and an average price target of $33.13.

Hedge Funds Weigh In On Fiverr International

Institutional investors and hedge funds have recently modified their holdings of the business. Huntington National Bank lifted its holdings in shares of Fiverr International by 38.3% in the 4th quarter. Huntington National Bank now owns 1,465 shares of the company's stock worth $46,000 after purchasing an additional 406 shares in the last quarter. KLP Kapitalforvaltning AS bought a new position in Fiverr International during the 4th quarter valued at $187,000. MQS Management LLC bought a new position in Fiverr International during the 2nd quarter valued at $248,000. Envestnet Asset Management Inc. bought a new position in Fiverr International during the 2nd quarter valued at $262,000. Finally, Quantbot Technologies LP lifted its stake in Fiverr International by 5,825.9% during the 1st quarter. Quantbot Technologies LP now owns 11,911 shares of the company's stock valued at $282,000 after acquiring an additional 11,710 shares in the last quarter. 59.00% of the stock is currently owned by institutional investors.

Fiverr International Trading Up 0.0%

The firm has a 50 day simple moving average of $28.82 and a two-hundred day simple moving average of $28.24. The firm has a market capitalization of $791.79 million, a P/E ratio of 46.02 and a beta of 1.45. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.32 and a current ratio of 1.32.

About Fiverr International

Fiverr International Ltd. operates an online marketplace worldwide. Its platform enables sellers to sell their services and buyers to buy them. The company's platform includes various categories in ten verticals, including graphic and design, digital marketing, writing and translation, video and animation, music and audio, programming and tech, business, data, lifestyle, and photography.