Q2 Earnings Roundup: Angi (NASDAQ:ANGI) And The Rest Of The Gig Economy Segment
The end of an earnings season can be a great time to assess how companies are handling the current business environment and discover new stocks. Let’s have a look at how Angi (NASDAQ:ANGI) and the rest of the gig economy stocks fared in Q2.
The iPhone changed the world, ushering in the era of the “always-on” internet and “on-demand” services - anything someone could want is just a few taps away. Likewise, the gig economy sprang up in a similar fashion, with a proliferation of tech-enabled freelance labor marketplaces, which work hand and hand with many on demand services. Individuals can now work on demand too. What began with tech enabled platforms that aggregated riders and drivers has expanded over the past decade to include food delivery, groceries, and now even a plumber or graphic designer are all just a few taps away.
The 4 gig economy stocks we track reported a weak Q2; on average, revenues missed analyst consensus estimates by 2%, while on average next quarter revenue guidance was 2.44% above consensus. Tech stocks have been hit the hardest as investors start to value profits over growth and gig economy stocks have not been spared, with share prices down 21.4% since the previous earnings results, on average.
Weakest Q2: Angi (NASDAQ:ANGI)
Created by IAC’s mergers of Angie’s List and HomeAdvisor, ANGI (NASDAQ: ANGI) operates the largest online marketplace for home services in the US.
Angi reported revenues of $375.1 million, down 27.3% year on year, missing analyst expectations by 6.79%. It was a weak quarter for the company, with a declining user base and revenue.
Angi delivered the weakest performance against analyst estimates and slowest revenue growth of the whole group. The company reported 6.86 million service requests, down 19.3% year on year. The stock is down 53.6% since the results and currently trades at $1.8.
Read our full report on Angi here, it's free.
Best Q2: Lyft (NASDAQ:LYFT)
Founded by Logan Green and John Zimmer as a long-distance intercity carpooling company Zimride, Lyft (NASDAQ: LYFT) operates a ridesharing network in the US and Canada.
Lyft reported revenues of $1.02 billion, up 3.04% year on year, missing analyst expectations by 0.17%. It was a decent quarter for the company, with optimistic revenue guidance for the next quarter but slow revenue growth.
The stock is down 11.1% since the results and currently trades at $10.29.
Is now the time to buy Lyft? Access our full analysis of the earnings results here, it's free.
Uber (NYSE:UBER)
Born out of a winter night thought: "What if you could request a ride from your phone?" Uber (NYSE: UBER) operates a global network of on demand services, most prominently ride hailing and food delivery, and freight.
Uber reported revenues of $9.23 billion, up 14.3% year on year, missing analyst expectations by 1.16%. It was a mixed quarter for the company, with a miss of analysts' revenue estimates and slow revenue growth. On the other hand, free cash flow was solid and so was profit guidance for the next quarter.
Uber achieved the fastest revenue growth in the group. The company reported 137 million users, up 12.3% year on year. The stock is down 9.91% since the results and currently trades at $44.56.
Read our full analysis of Uber's results here.
Fiverr (NYSE:FVRR)
Based in Tel Aviv, Fiverr (NYSE: FVRR) operates a fixed price global freelance marketplace for digital services.
Fiverr reported revenues of $89.4 million, up 5.15% year on year, in line with analyst expectations. It was a weak quarter for the company, with slow revenue growth. In addition, the total number of active buyers was flat year on year.
Fiverr delivered the strongest analyst estimates beat among the peers. The stock is down 15.9% since the results and currently trades at $23.99.
Read our full, actionable report on Fiverr here, it's free.
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The author has no position in any of the stocks mentioned
