Investors Are Swiping Left on the "Tinder of China"
Momo's (NASDAQ: MOMO) stock recently plunged to a four-year low after the Chinese tech company, which owns two of the country's most popular online dating apps, posted mixed second-quarter earnings.
Its revenue fell 7% year-over-year to 3.87 billion yuan ($547.5 million), missing estimates by $1.3 million and marking its second straight quarter of declining revenue. Its adjusted net income fell 46% to 669.8 million yuan ($94.8 million), or $0.43 per ADS, but still beat expectations by a penny.
Momo expects that pain to continue with a 15%-17% year-over-year drop in revenue in the third quarter, while analysts had anticipated a milder 3% decline. Momo didn't offer any bottom-line guidance, but analysts currently expect a 6% EPS decline in USD terms.
Source Fool.com
