What to Look Out For When Ubiquiti Networks Reports Earnings
Ubiquiti Networks (NASDAQ: UBNT) investors had an interesting ride this fall. After strong earnings in August and robust guidance, the stock climbed to $67, but in September, the company became the target of short-seller Citron Research, which called the company a "fraud," sending shares down to $50. Shares have since recovered to almost $65 as of this writing, so apparently Wall Street doesn't take Citron's claims very seriously. In addition, analysts Erik Suppiger of JMP Securities and Tavis McCourt of Raymond James both dismissed the fraud allegations. My colleagues recently dismissed Citron's even more recent attack on Shopify (NYSE: SHOP), and I don't believe there's much substance to Citron's attack on Ubiquiti, either.
Assuming you believe both analysts and management, investors should focus on, you know, the business, and we'll get an update on that in Thursday's earnings report. Here's what to look for.
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Source: Fool.com
