Why Kingsoft Cloud Stock Tanked Today

Shares of Kingsoft Cloud (NASDAQ: KC) fell as much as 14% today after the company reported third-quarter earnings. The results were mixed relative to analyst expectations, and guidance came in a little light. As of 12:10 p.m. EST, the stock was down 10%.

Revenue in the third quarter was 1.7 billion yuan ($254.6 million), which was shy of the $261.7 million in sales that Wall Street was looking for. That resulted in an adjusted net loss of 169.1 million yuan ($24.9 million), or 0.03 yuan ($0.00) per share. Analysts were modeling for $0.16 per share in red ink. The Chinese technology company, which provides cloud services to enterprise organizations, reported adjusted EBITDA of negative $3.9 million.

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Source Fool.com