they actually beat revenue estimates. They changed the way they report revenue now. They would have reported $2.7 million more on top of the $42.7 to get $45.4 total revenue. Beating top line estimates of $44.7
That is why the stock startred rallying until the shorts came in to hold it down. Look for this to move up slowly. It should get to $9 before September's ruling. The new CEO is going to focus on new client aquisition and the company has over $100 million of cash and no debt.
nobody wanted to be long before the earnings announcement with fears about the recent ant-trust suit and expectations of dismal guidance.
while the lawsuit will weigh on the shares for the time being neither earnings nor guidance were as bad as feared with the company essentially living up to analyst estimates. Stock should at least stabilize at current levels but I doubt there is much room to run as valuation still does not look compelling here especially with the lawsuit on top.