Why Nerdy Stock Was Massively Unpopular Today
Like a gangly teen being shunned in school, investors gave the cold shoulder to Nerdy (NYSE: NRDY) stock on Hump Day. That's because the online education specialist published quarterly results that came in notably under expectations in terms of profitability -- or the lack thereof. With this albatross weighing it down, Nerdy's stock price headed south by nearly 18% on the day.
Nerdy's third-quarter results, published after market hours on Tuesday, showed that revenue was almost $40.3 million for the period, well above the $31.8 million of the same quarter of 2022. The company continues to lose money, though; its generally accepted accounting principles (GAAP) net loss was $20.6 million ($0.13 per share). Yet, that too represented a year-over-year improvement, as the year-ago quarter's shortfall was $32.3 million.
Despite the improvements, Nerdy beat only narrowly on the top line and missed significantly on the bottom. On average, analysts were estimating that the company would book revenue of slightly over $39 million, accompanied by only a $0.08 per share GAAP net loss.
Source Fool.com
