Why Shares of AppHarvest Fell 29% Today
Shares of agriculture tech start-up AppHarvest (NASDAQ: APPH) had fallen 29% as of 1:40 p.m. EDT. The reason lies within the company's second-quarter 2021 earnings update. There was plenty of information to unpack from the report, but what ultimately led to the steep drop was an updated outlook for full-year 2021 revenue -- now set at an expected $7 million to $9 million, compared to $20 million to $25 million before.
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As a reminder, AppHarvest is still a start-up and isn't a full-blown farming operation -- at least not yet. The slashing of annual guidance isn't going to make or break the company because either way it's going to operate at a loss this year. However, expected full-year adjusted EBITDA loss is now going to be within a range of $70 million to $75 million, worse than the previous guide for a loss of $48 million to $52 million.
Source Fool.com
