U.S. Markets closed
  • S&P 500

    3,768.25
    -27.29 (-0.72%)
     
  • Dow 30

    30,814.26
    -177.24 (-0.57%)
     
  • Nasdaq

    12,998.50
    -114.10 (-0.87%)
     
  • Russell 2000

    2,123.20
    -32.15 (-1.49%)
     
  • Crude Oil

    52.09
    -0.27 (-0.52%)
     
  • Gold

    1,836.80
    +6.90 (+0.38%)
     
  • Silver

    25.01
    +0.14 (+0.58%)
     
  • EUR/USD

    1.2080
    -0.0004 (-0.0362%)
     
  • 10-Yr Bond

    1.0970
    -0.0320 (-2.83%)
     
  • Vix

    24.34
    +1.09 (+4.69%)
     
  • GBP/USD

    1.3587
    +0.0003 (+0.0245%)
     
  • USD/JPY

    103.6800
    -0.1200 (-0.1156%)
     
  • BTC-USD

    36,147.80
    +409.03 (+1.14%)
     
  • CMC Crypto 200

    703.28
    -31.86 (-4.33%)
     
  • FTSE 100

    6,720.65
    -15.06 (-0.22%)
     
  • Nikkei 225

    28,242.21
    -276.97 (-0.97%)
     

EverQuote (EVER) Reports Wider Q3 Loss, Raises 2020 Guidance

Zacks Equity Research
·3 min read

EverQuote, Inc. EVER reported adjusted net loss of 12 cents per share for third-quarter 2020, wider than the Zacks Consensus Estimate of a loss of 5 cents per share. In the year-ago quarter, operating income was 1 cent per share.

EverQuote witnessed increased revenues from automotive insurance and other insurance verticals in the reported quarter, offset by higher expenses.

EverQuote, Inc. Price, Consensus and EPS Surprise

 

 

EverQuote, Inc. Price, Consensus and EPS Surprise
EverQuote, Inc. Price, Consensus and EPS Surprise

EverQuote, Inc. price-consensus-eps-surprise-chart | EverQuote, Inc. Quote

Behind the Headlines

Total revenues improved 34.1% year over year to $89.9 million, driven by the solid performance of automotive insurance vertical and other verticals.
Moreover, the top line beat the Zacks Consensus Estimate by 5.8%.

Variable marketing margin grew 41% year over year to $29.4 million.

Revenues from automotive insurance vertical increased 30% year over year to $74.8 million.

Revenues from other insurance verticals, which include home and renters, life, health and commercial insurance, increased 55% from the year-ago period to $15.2 million.

Total costs and operating expenses increased 38.8% to $93.3 million mainly due to higher cost of revenues, sales and marketing, research and development, and general and administrative expenses.

Adjusted EBITDA increased 34.9% year over year to $5.2 million.

Financial Update

As of Sep 30, 2020, EverQuote had assets worth $116.2 million, up 27.4% from the level at 2019 end.

Cash and cash equivalents declined 0.4% from the 2019-end level to $45.9 million.

Shareholder equity at the end of the reported quarter increased 29.8% from the 2019-end to $67.2 million.

EverQuote’s cash flow from operations increased 39.4% year over year to $6 million.

Q4 Guidance

Revenues are anticipated to be $90.4-$92.4 million.

Variable marketing margin is projected to be $29.3-$30.3 million.

Adjusted EBITDA is expected to be $4-$5 million.

2020 Guidance

Revenues are anticipated to be in the range of $340-$342 million, up from the previously mentioned $331-$336 million.

Variable marketing margin is projected to be $106-$107 million, up from the previously guided range of $101-$104.5 million.

Adjusted EBITDA is expected to be $17-$18 million, higher than $15-$17.5 million guided previously.

Zacks Rank

EverQuote currently carries a Zacks Rank #4 (Sell).

You can see the complete list of today’s Zacks #1Rank (Strong Buy) stocks here.

Performance of Other Insurers

Third-quarter earnings of CNA Financial CNA, Assurant AIZ, Markel MKL beat the respective Zacks Consensus Estimate.

Legal Marijuana: An Investor’s Dream

Imagine getting in early on a young industry primed to skyrocket from $17.7 billion in 2019 to an expected $73.6 billion by 2027.

Although marijuana stocks did better as the pandemic took hold than the market as a whole, they’ve been pushed down. This is exactly the right time to get in on selected strong companies at a fraction of their value before COVID struck. Zacks’ Special Report, Marijuana Moneymakers, reveals 10 exciting tickers for urgent consideration.

Download Marijuana Moneymakers FREE >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
CNA Financial Corporation (CNA) : Free Stock Analysis Report
 
Assurant, Inc. (AIZ) : Free Stock Analysis Report
 
Markel Corporation (MKL) : Free Stock Analysis Report
 
EverQuote, Inc. (EVER) : Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research