Box (BOX, $16.44) posts lower-than-expected full-year guidance; shares drop -11% in extended trading Monday
Box Inc. beat earnings estimates for the first quarter, but issued weaker-than-expected full-year outlook – leading to its shares plunging -11% during after-hours trading Monday.
The cloud software and file sharing company’s quarterly adjusted loss of -3 cents per share was narrower than analysts’ expectations of a loss of -5 cents (based on Refinitiv consensus estimates).
Revenue of $163 million also came in higher than analysts’ anticipated $161.4 million (based on Refinitiv). Revenue jumped+16% from the year-ago quarter.
However, for the full fiscal year, Box expects revenue in the range of $688 million to $692 million, lagging the average analyst forecast of $702 million (based on Refinitiv). The company indicated that it needs longer timelines to close deals with larger clients - a potential reason behind its relatively lower guidance.
For the second-quarter in particular, Box predicts revenue of $169 million to $170 million, compared to analysts’ expectation of $170.9 million.
BOX's RSI Oscillator peaks and leaves overbought zone
The 10-day RSI Indicator for BOX moved out of overbought territory on November 27, 2024. This could be a sign that the stock is shifting from an upward trend to a downward trend. Traders may want to look at selling the stock or buying put options. Tickeron's A.I.dvisor looked at 36 instances where the indicator moved out of the overbought zone. In of the 36 cases the stock moved lower in the days that followed. This puts the odds of a move down at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on December 04, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on BOX as a result. In of 77 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for BOX turned negative on December 04, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 50 similar instances when the indicator turned negative. In of the 50 cases the stock turned lower in the days that followed. This puts the odds of success at .
BOX moved below its 50-day moving average on December 04, 2024 date and that indicates a change from an upward trend to a downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where BOX declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
Bullish Trend Analysis
The Stochastic Oscillator demonstrated that the ticker has stayed in the oversold zone for 2 days, which means it's wise to expect a price bounce in the near future.
The 10-day moving average for BOX crossed bullishly above the 50-day moving average on November 08, 2024. This indicates that the trend has shifted higher and could be considered a buy signal. In of 19 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where BOX advanced for three days, in of 306 cases, the price rose further within the following month. The odds of a continued upward trend are .
BOX may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Aroon Indicator entered an Uptrend today. In of 248 cases where BOX Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 87, placing this stock better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.000) is normal, around the industry mean (30.949). P/E Ratio (42.597) is within average values for comparable stocks, (160.291). Projected Growth (PEG Ratio) (1.025) is also within normal values, averaging (2.755). Dividend Yield (0.000) settles around the average of (0.084) among similar stocks. P/S Ratio (4.087) is also within normal values, averaging (57.899).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. BOX’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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a platform for content storage, sharing, and collaboration
Industry PackagedSoftware