Why Udemy Stock Got Hammered Today
Shares of online education company Udemy (NASDAQ: UDMY) got hammered on Thursday after it delivered financial results for the second quarter. The numbers weren't bad, but investors are likely more concerned by management lowering its full-year guidance. As of 12:30 p.m. ET today, Udemy stock was down about 18%.
Management had said that it expected second-quarter revenue between $192 million and $195 million. It ultimately generated second-quarter revenue of more than $194 million, which was right on target and up 9% year over year.
Udemy is a two-sided education marketplace: Third-party contributors create courses, and learners can buy a course if accreditation isn't important to them. Enterprises increasingly subscribe to Udemy Business to provide a catalog of courses to their employees. In the second quarter, Udemy Business accounted for 62% of total revenue and reached annual recurring revenue of $493 million.
Source Fool.com
