Why Is JFrog Stock Having a Bad Day Today?
Shares of software delivery company JFrog (NASDAQ: FROG) plunged on Friday after the company reported financial results for the first quarter of 2024. As of 11:30 a.m. ET, JFrog stock was down 18%.
Explaining a stock move isn't always straightforward. As best as I can figure, investors are punishing JFrog stock today because management didn't raise its guidance by as much as they had hoped. To be clear, the company's financial results surpassed expectations in Q1, and management did raise its full-year guidance. But the raise was modest -- hence the disappointment.
In Q1, JFrog generated revenue of $100 million, up 26% year over year and slightly ahead of guidance. CEO and co-founder Shlomi Ben Haim pointed out that the growth was "across multiple verticals and geographies," which is good. And for the year, the company believes it will grow the top line by about 23% from 2023, which suggests a steady, ongoing growth rate.
Source Fool.com
