It think it is an overreaction to the earnings report. Good earnings report. However, a mild disappointment though. I think anything below 6.80 is a good buying opportunity.
Guess I'm a die hard longterm investor of 8x8. I don't see any disappointment. 8x8 is making a profit. Today's actions is pure sell on the news. Lemmings getting slaughtered... Buying opportunities if it goes down to 6.50. I missed the opportunity this morning. It's making money in this bad economy. JMHO
Congrats, that would be a great buying opportunity. I hope you rode it all the way up. I think we got most of the sellers out today. A piece of advice though, don't fall in love with the stock and time is money. I always like to see continous improvement on a quarterly basis. Have a nice day.
Congrats! I think anything below 6.80 is buying opportunity. However, I don't see significant appreciation until the upcoming report except for mild bounce. Have a nice day. Many happy returns.
"earnings" was .03 (about $2.1M)
"cash flow gain" was about .09 (about $6M).
Do these guys have a lot of depreciation on stuff?
Realistically, it's only the 2nd number that matters. I mean, the book value (in a sense) goes up .03 per share but they brought in cash of .09 per share which means that .06 per share got lost somwhere else so as to negate "earnings" even though the cash is in the coffer.
You are exactly correct. The stock appreciated too fast last quarter, in my opinion. It was definitely an overreaction today. At least, they met the revenue growth figures for the current quarter. Companies have no chance in competing if they have no revenue growth.
Still plenty of upside for the long term investor. Eght still owns many tech patents, is reaching more and more small business and has increased earnings per customer. Super Storm Sandy has made many small business painfully aware how vulnerable and unprepared they are when a communication outage happens with old wire technology.
I am a bit lost on the pessimism. Record revenues for the quarter is still record revenue. I am a bit confused with all of the positive metrics(more business customers, more services etc) the 'lower' GAAP EPS seems odd. But, the company performed better than it ever has before, why punish them for not surpassing the educated guess?
GAAP at $0.03 is not a good earnings report.
However, that being said. Maybe they can get back on their feet and figure a few things out. Good value in the company still. Maybe a bargain share price here real soon. Wait a few weeks and see where it starts consolidating again.
as GAAP numbers contain extraordinary gains and expenses (for example goodwill writeoffs or tax benefits) as well as stock based compensation expenses (which weren't expensed at all ten years ago).
so non-GAAP is the right way to look at a company as long as they don't take out ordinary expenses and declare them as extraordinary
No it is not an overreaction. With that type of quarterly income and the GAAP earnings only $.03, I think some questions need to be answered. Some have indicated they do not feel this is investor-friendly... this would add fuel to their argument. I am not going to sell, as I think there is still a lot of upside, but another quarter of this type of earnings will move me out.
One quarter of GAP earnings being off by -.$0,01 does not necessarily equate to an unfriendly investor environment. Maybe after two or more consecutive quarters then we can discuss an unfriendly trend. But considering no trend exists, and they're still a leading service provider our of any small cap growth stock in their market, "unfriendly" isn't the case. Growth won't always be linear. Markets are irrational. A huge upside still remains. Listen the the conference call you would have heard EGHT has so far penetrated approximately 1% of a +$20 billion dollar cloud based small business communications market in the United States alone. They're also expanding into Canada which creates greater opportunity. EGHT's in a far superior position than the competition IMO.
Sentiment: Strong Buy
I have to agree with you. It seems management does not really care about investors. very little news during the quarters. I think the numbers are good, but it just seems that this type of growth is not going to cut it down the road. The CEO is out doing these road show events promoting his company. however, these are slim profits and will not generate interest from the bigger firms.
Brian martin is a good technology guy, but a small time thinker.
Sentiment: Strong Buy