February 28, 2024

Oscarbistrobar

Where Innovation Lives

CRNC Stock Hits Record High On December-Quarter Earnings Beat

2 min read

Cerence (CRNC), a provider of voice assistant and artificial intelligence technology for automobiles, on Monday beat Wall Street’s targets for the December quarter. But its full-year sales guidance came up short. CRNC stock fell on the news.




X



The Burlington, Mass.-based company earned an adjusted 59 cents a share on sales of $95 million in its fiscal first quarter ended Dec. 31. Analysts expected Cerence earnings of 51 cents a share on sales of $87.9 million. On a year-over-year basis, Cerence earnings rose 103% while sales climbed 23%.

For the March quarter, Cerence expects sales of $92 million to $95 million, an increase of 6% to 10% from the year-earlier period. The midpoint of $93.5 million edged analyst estimates of $93 million.

For the fiscal year ending Sept. 30, Cerence predicts that revenue will increase 12% to 15% to $370 million to $380 million. The midpoint of $375 million missed Wall Street’s target of $377.6 million.

“We expect continued year-over-year revenue growth in our second quarter as the auto industry recovers from Covid-19,” Chief Executive Sanjay Dhawan said in a news release. “However, our second-quarter guidance accounts for the expected impact of semiconductor shortages on auto production in the first half of the calendar year.”

CRNC Stock Falls After Earnings Beat

On the stock market today, CRNC stock hit a record high of 131.63, but then retreated. CRNC stock ended the regular session down 3.9% to 120.76.

On Aug. 4, CRNC stock broke out of a six-week consolidation period at a buy point of 45.45, according to IBD MarketSmith charts.

Cerence went public in October 2019 when it spun off from Nuance Communications (NUAN). CRNC stock ended its first day of trading at 15.35.

CRNC stock currently ranks No. 28 on the IBD 50 list of top-performing growth stocks.

Follow Patrick Seitz on Twitter at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.

YOU MAY ALSO LIKE:

Recent Hot IPO Unity Software Tumbles On Forecast For Slowing Sales

Is Roku Stock A Buy Ahead Of Its Fourth-Quarter Earnings Report?

Is AMD Stock A Buy After Chipmaker’s Fourth-Quarter Earnings Report?

Find Winning Stocks With MarketSmith Pattern Recognition & Custom Screens

See Stocks On The List Of Leaders Near A Buy Point

oscarbistrobar.com | Newsphere by AF themes.