Latest news with #SteveTrundle
Yahoo
03-04-2025
- Business
- Yahoo
Vertical Software Stocks Q4 In Review: Alarm.com (NASDAQ:ALRM) Vs Peers
As the Q4 earnings season comes to a close, it's time to take stock of this quarter's best and worst performers in the vertical software industry, including (NASDAQ:ALRM) and its peers. Software is eating the world, and while a large number of solutions such as project management or video conferencing software can be useful to a wide array of industries, some have very specific needs. As a result, vertical software, which addresses industry-specific workflows, is growing and fueled by the pressures to improve productivity, whether it be for a life sciences, education, or banking company. The 4 vertical software stocks we track reported a slower Q4. As a group, revenues beat analysts' consensus estimates by 0.9% while next quarter's revenue guidance was in line. Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 17% since the latest earnings results. Founded in 2000 as a business unit within MicroStrategy, (NASDAQ:ALRM) is a software-as-a-service platform that enables users to control their security systems and smart home appliances from a single app. reported revenues of $242.2 million, up 7.1% year on year. This print exceeded analysts' expectations by 1.4%. Despite the top-line beat, it was still a mixed quarter for the company with a decent beat of analysts' billings estimates but full-year guidance of slowing revenue growth. 'I want to thank our team and our service provider partners for their help in delivering another quarter and year of solid financial performance,' said Steve Trundle, CEO of delivered the slowest revenue growth of the whole group. The stock is down 10.3% since reporting and currently trades at $54.35. Is now the time to buy Access our full analysis of the earnings results here, it's free. Founded by two individuals involved in the development of leading procurement software Ariba, Guidewire (NYSE:GWRE) offers insurance companies a software-as-a-service platform to help sell their products and manage their workflows. Guidewire reported revenues of $289.5 million, up 20.2% year on year, outperforming analysts' expectations by 1.4%. The business had a strong quarter with a solid beat of analysts' billings estimates and an impressive beat of analysts' EBITDA estimates. Guidewire delivered the biggest analyst estimates beat, fastest revenue growth, and highest full-year guidance raise among its peers. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 1.4% since reporting. It currently trades at $184.19. Is now the time to buy Guidewire? Access our full analysis of the earnings results here, it's free. Founded by brothers Keith and Barry Bentley, Bentley Systems (NASDAQ:BSY) offers a software-as-a-service platform that addresses the lifecycle of infrastructure projects such as road networks, tunnel systems, and wastewater facilities. Bentley reported revenues of $349.8 million, up 12.6% year on year, in line with analysts' expectations. It was a disappointing quarter as it posted full-year revenue guidance slightly missing analysts' expectations. Bentley delivered the weakest performance against analyst estimates in the group. As expected, the stock is down 14.5% since the results and currently trades at $39.05. Read our full analysis of Bentley's results here. Boasting major consumer staples and pharmaceutical companies as clients, Manhattan Associates (NASDAQ:MANH) offers a software-as-service platform that helps customers manage their supply chains. Manhattan Associates reported revenues of $255.8 million, up 7.4% year on year. This number topped analysts' expectations by 0.9%. Aside from that, it was a weaker quarter as it logged full-year guidance of slowing revenue growth. Manhattan Associates had the weakest full-year guidance update among its peers. The stock is down 41.7% since reporting and currently trades at $172. Read our full, actionable report on Manhattan Associates here, it's free. Want to invest in winners with rock-solid fundamentals? Check out our Top 5 Quality Compounder Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Join Paid Stock Investor Research Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here.
Yahoo
20-02-2025
- Business
- Yahoo
Alarm.com (NASDAQ:ALRM) Beats Q4 Sales Targets
Home security and automation software provider (NASDAQ:ALRM) reported Q4 CY2024 results exceeding the market's revenue expectations , with sales up 7.1% year on year to $242.2 million. The company expects the full year's revenue to be around $979.5 million, close to analysts' estimates. Its non-GAAP profit of $0.58 per share was 8.6% above analysts' consensus estimates. Is now the time to buy Find out in our full research report. Revenue: $242.2 million vs analyst estimates of $237.5 million (7.1% year-on-year growth, 2% beat) Adjusted EPS: $0.58 vs analyst estimates of $0.53 (8.6% beat) Adjusted EBITDA: $46.39 million vs analyst estimates of $45.33 million (19.1% margin, 2.3% beat) Management's revenue guidance for the upcoming financial year 2025 is $979.5 million at the midpoint, in line with analyst expectations and implying 4.2% growth (vs 6.6% in FY2024) EBITDA guidance for the upcoming financial year 2025 is $190 million at the midpoint, in line with analyst expectations Operating Margin: 12.7%, up from 11.4% in the same quarter last year Free Cash Flow Margin: 22.3%, down from 31% in the previous quarter Market Capitalization: $3.00 billion 'I want to thank our team and our service provider partners for their help in delivering another quarter and year of solid financial performance,' said Steve Trundle, CEO of Founded in 2000 as a business unit within MicroStrategy, (NASDAQ:ALRM) is a software-as-a-service platform that enables users to control their security systems and smart home appliances from a single app. Software is eating the world, and while a large number of solutions such as project management or video conferencing software can be useful to a wide array of industries, some have very specific needs. As a result, vertical software, which addresses industry-specific workflows, is growing and fueled by the pressures to improve productivity, whether it be for a life sciences, education, or banking company. Examining a company's long-term performance can provide clues about its quality. Any business can put up a good quarter or two, but the best consistently grow over the long haul. Over the last three years, grew its sales at a weak 7.9% compounded annual growth rate. This was below our standard for the software sector and is a tough starting point for our analysis. This quarter, reported year-on-year revenue growth of 7.1%, and its $242.2 million of revenue exceeded Wall Street's estimates by 2%. Looking ahead, sell-side analysts expect revenue to grow 4.1% over the next 12 months, a deceleration versus the last three years. This projection is underwhelming and implies its products and services will face some demand challenges. Unless you've been living under a rock, it should be obvious by now that generative AI is going to have a huge impact on how large corporations do business. While Nvidia and AMD are trading close to all-time highs, we prefer a lesser-known (but still profitable) stock benefiting from the rise of AI. Click here to access our free report one of our favorites growth stories. The customer acquisition cost (CAC) payback period measures the months a company needs to recoup the money spent on acquiring a new customer. This metric helps assess how quickly a business can break even on its sales and marketing investments. is extremely efficient at acquiring new customers, and its CAC payback period checked in at 15.3 months this quarter. The company's rapid recovery of its customer acquisition costs means it can attempt to spur growth by increasing its sales and marketing investments. It was encouraging to see beat analysts' EBITDA expectations this quarter. We were also happy its revenue outperformed Wall Street's estimates. On the other hand, its revenue guidance for next year suggests a significant slowdown in demand and its full-year EBITDA guidance was in line with Wall Street's estimates. Zooming out, we think this was a decent quarter featuring some areas of strength but also some blemishes. The stock remained flat at $60.08 immediately following the results. Is an attractive investment opportunity right now? The latest quarter does matter, but not nearly as much as longer-term fundamentals and valuation, when deciding if the stock is a buy. We cover that in our actionable full research report which you can read here, it's free. Sign in to access your portfolio
