Hello Group Inc ADR Down 24.90% To $5.78 After Earnings Beat

Thursday, March 14, 2024 - Hello Group Inc ADR (MOMO) reported upside earnings and revenues today.

Hello Group Inc ADR's earnings came in at an EPS of $0.37 per share, 9.00% higher than estimates for an EPS of $0.34 per share. The firm's earnings are up 3% since reporting $0.36 per share in the same period a year ago. Remember, earnings reported were on an adjusted basis, so they may not be comparable to prior reports and/or analyst estimates.

Consensus estimates for Hello Group Inc ADR revenue averaged out to $405.6 million, with the business managing to beat those expectations with reported fourth-quarter revenue of $423 million. The $17.3 million (4%) positive revenue surprise led to negative 9% growth year-over-year as the firm reported revenue of $465.8 million in its year-ago quarter. The higher earnings growth compared to revenue points to Hello Group Inc ADR improving its profit margin.

The stock is down 24.90% to $5.78 after the report.

The firm's lower revenue growth to earnings signals that the firm has been able to reduce costs and improve its profit margin overall.

The average recommendation from Wall Street analysts was a Buy which may get revised based on this new data.

InvestorsObserver gives the stock a Bullish Sentiment score at the moment based on recent trading.

Hello Group Inc ADR has performed a little below average during the past few months. Before the report, Hello Group Inc ADR received a Long-Term Technical Rank by InvestorsObserver of 25, putting it in the bottom half of stocks.

Hello Group Inc provides mobile-based social networking services. It enables users to establish and expand social relationships based on location and interests. Its platform includes Momo mobile application and a variety of related features, functionalities, tools, and services that it provides to users, customers, and platform partners. It also operates a stand-alone video application called Hani, which features the live video content on its core Momo mobile application. The company derives its revenue from live video service, value-added services, mobile marketing services, mobile games, and other services. It operates in three segments: Momo' service lines, Tantan's service lines, and QOOL's service line out of which Momo' service lines segment derives the majority of revenue.