Confluent (CFLT) Hits New Low on Weak Revenue Outlook
Confluent fell for a fourth consecutive day on Thursday, to touch a new low of $17.51 apiece, as investor sentiment was dampened by its lower-than-expected revenue for the second quarter of the year.
During the period, Confluent, Inc. (NASDAQ:CFLT) grew its total revenues by 20 percent to $282 million from $235 million in the same period last year, as subscription revenues increased by 21 percent to $270.8 million from $224.7 million. However, total revenues missed analysts' consensus forecast by 2.69 percent.
In the same period, net loss also narrowed by 8.8 percent to $81.95 million from $89.9 million year-on-year.
In the first half, net loss shrank by 18.6 percent to $149.5 million from $183 million year-on-year, as total revenues grew 22 percent to $553 million from $452 million.
Looking ahead, Confluent, Inc. (NASDAQ:CFLT) expects subscription revenues to end between $281-$282 million, and to a range of $1.105 billion to $1.11 billion in the full-year period.
Copyright: buchachon / 123RF Stock Photo
Earnings per share were also pegged at $0.09-$0.10 in the third quarter and at around $0.36 in the full year.
While we acknowledge the potential of CFLT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the .
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