Earnings results often indicate what direction a company will take in the months ahead. With Q4 behind us, let’s have a look at Coursera (NYSE:COUR) and its peers.
Consumers today expect goods and services to be hyper-personalized and on demand. Whether it be what music they listen to, what movie they watch, or even finding a date, online consumer businesses are expected to delight their customers with simple user interfaces that magically fulfill demand. Subscription models have further increased usage and stickiness of many online consumer services.
The 8 consumer subscription stocks we track reported a mixed Q4. As a group, revenues beat analysts’ consensus estimates by 1.6% while next quarter’s revenue guidance was in line.
Amidst this news, share prices of the companies have had a rough stretch. On average, they are down 9.2% since the latest earnings results.
Best Q4: Coursera (NYSE:COUR)
Founded by two Stanford University computer science professors, Coursera (NYSE:COUR) is an online learning platform that offers courses, specializations, and degrees from top universities and organizations around the world.
Coursera reported revenues of $179.2 million, up 6.1% year on year. This print exceeded analysts’ expectations by 1.6%. Despite the top-line beat, it was still a mixed quarter for the company with an impressive beat of analysts’ EBITDA estimates.
“We made significant strides throughout 2024 in expanding our content catalog, launching new entry-level Professional Certificates, generative AI courses, and healthcare micro-credentials designed to meet the needs of learners and customers,” said Coursera CEO Jeff Maggioncalda.
The stock is down 17.2% since reporting and currently trades at $7.92.
Is now the time to buy Coursera? Access our full analysis of the earnings results here, it’s free.
Duolingo (NASDAQ:DUOL)
Founded by a Carnegie Mellon computer science professor and his Ph.D. student, Duolingo (NASDAQ:DUOL) is a mobile app helping people learn new languages.
Duolingo reported revenues of $209.6 million, up 38.8% year on year, outperforming analysts’ expectations by 2.1%. The business performed better than its peers, but it was unfortunately a slower quarter with EBITDA guidance for next quarter missing analysts’ expectations.
Duolingo scored the fastest revenue growth among its peers. The company reported 116.7 million users, up 32% year on year. Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 15.9% since reporting. It currently trades at $314.83.
Is now the time to buy Duolingo? Access our full analysis of the earnings results here, it’s free.
Weakest Q4: Match Group (NASDAQ:MTCH)
Originally started as a dial-up service before widespread internet adoption, Match (NASDAQ:MTCH) was an early innovator in online dating and today has a portfolio of apps including Tinder, Hinge, Archer, and OkCupid.
Match Group reported revenues of $860.2 million, flat year on year, in line with analysts’ expectations. It was a softer quarter as it posted a slight miss of analysts’ number of payers estimates and a decline in its users.
Match Group delivered the weakest full-year guidance update in the group. The company reported 14.61 million users, down 3.8% year on year. As expected, the stock is down 12.5% since the results and currently trades at $31.90.
Read our full analysis of Match Group’s results here.
Bumble (NASDAQ:BMBL)
Started by the co-founder of Tinder, Whitney Wolfe Herd, Bumble (NASDAQ:BMBL) is a leading dating app built with women at the center.
Bumble reported revenues of $261.6 million, down 4.4% year on year. This print was in line with analysts’ expectations. However, it was a slower quarter as it produced EBITDA guidance for next quarter missing analysts’ expectations significantly and revenue guidance for next quarter meeting analysts’ expectations.
The company reported 4.18 million active buyers, up 5.3% year on year. The stock is down 33.8% since reporting and currently trades at $5.36.
Read our full, actionable report on Bumble here, it’s free.
Netflix (NASDAQ:NFLX)
Launched by Reed Hastings as a DVD mail rental company until its famous pivot to streaming in 2007, Netflix (NASDAQ: NFLX) is a pioneering streaming content platform.
Netflix reported revenues of $10.25 billion, up 16% year on year. This result surpassed analysts’ expectations by 1.1%. Taking a step back, it was a slower quarter as it logged EPS guidance for next quarter missing analysts’ expectations.
Netflix delivered the highest full-year guidance raise among its peers. The company reported 301.6 million users, up 15.9% year on year. The stock is up 12.4% since reporting and currently trades at $980.
Read our full, actionable report on Netflix here, it’s free.
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