Can Fitbit Stock Keep Going After Last Week's 8% Pop?
An actual turnaround at Fitbit (NYSE: FIT) may take some time, but investors bid up the shares last week after the activity-monitoring wearables maker posted better-than-expected financials and slightly boosted its full-year outlook.
The second quarter was rough on a year-over-year basis. Revenue plummeted 40% to hit $353.3 million. This is the former market darling's third quarter in a row of double-digit declines on the top line. Fitbit's profitability a year earlier was reversed, as bottom-line results clocked in at a loss of $0.23 a share -- or a deficit of $0.08 a share on an adjusted basis. However, analysts were bracing for an adjusted loss of $0.15 a share on just $341.6 million in revenue.
The numbers aren't great, but the stock is also trading at a little more a third of where it was a year earlier. Fitbit stock has plummeted 89% since peaking two summers ago, shortly after going public. Frame Fitbit's performance correctly and it's not a shabby showing based on the stock's present valuation.
Source: Fool.com
