Digital Turbine‘s (APPS) 10-week run came to a halt on Wednesday, as APPS stock plunged after it reported fiscal second-quarter earnings that topped views but guidance may have disappointed.
APPS stock tumbled 19.2% to close at 72.62 on the stock market today.
The mobile app and advertising software maker reported its results late Tuesday. Earnings were 44 cents a share, up 193% from a year earlier, amid acquisitions. Revenue rose 338% to $310.2 million. That topped estimates of a 39-cent profit on revenue of $306.5 million.
Digital Turbine forecast December-quarter earnings in a range of 41 cents to 44 cents a share. The company said it expects revenue in a range of $350 million to $355 million. It was unclear what analysts were expecting.
The company plans to hold its virtual investor day Nov. 11.
APPS Stock Hit 10-Month Low In August
Digital Turbine connects wireless service providers, smartphone makers, and publishers with app developers and advertisers. AAPS stock has risen as the company has expanded from mobile into internet TV.
With Wednesday’s loss, APPS stock has gained about 34% in 2021. APPS stock hit a high of 102.56 on March 2. Shares fell to 47.57 on Aug. 19.
Most revenue comes from Digital Turbine’s “dynamic installer” for mobile apps. With the February 2020 acquisition of Mobile Posse for a reported $66 million, Digital Turbine diversified into supplying content.
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