Zuora (NYSE:ZUO) Issues FY 2025 Earnings Guidance

Zuora (NYSE:ZUO) issued an update on its FY 2025 earnings guidance on Wednesday morning. The company provided earnings per share guidance of 0.560-0.580 for the period, compared to the consensus earnings per share estimate of 0.430. The company issued revenue guidance of $455.5 million-$461.5 million, compared to the consensus revenue estimate of $454.6 million. Zuora also updated its FY25 guidance to $0.56-0.58 EPS.

Zuora Stock Down 0.1 %

Zuora stock opened at $8.49 on Friday. Zuora has a 12 month low of $7.05 and a 12 month high of $10.85. The stock has a fifty day simple moving average of $9.08 and a two-hundred day simple moving average of $9.19. The company has a current ratio of 2.56, a quick ratio of 2.56 and a debt-to-equity ratio of 2.60. The firm has a market cap of $1.24 billion, a price-to-earnings ratio of -19.74 and a beta of 1.71.

Zuora (NYSE:ZUO) last released its quarterly earnings data on Wednesday, August 21st. The company reported $0.19 EPS for the quarter, topping the consensus estimate of $0.10 by $0.09. Zuora had a negative return on equity of 30.17% and a negative net margin of 14.28%. The company had revenue of $115.40 million during the quarter, compared to the consensus estimate of $112.63 million. During the same period last year, the company earned ($0.12) EPS. Zuora’s revenue for the quarter was up 6.8% on a year-over-year basis. Equities analysts predict that Zuora will post -0.16 EPS for the current fiscal year.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on ZUO. Canaccord Genuity Group reissued a buy rating and set a $13.00 price objective on shares of Zuora in a report on Thursday. Lake Street Capital boosted their target price on shares of Zuora from $12.00 to $13.00 and gave the company a buy rating in a research note on Thursday, May 23rd. Robert W. Baird raised their price target on Zuora from $8.00 to $10.00 and gave the stock a neutral rating in a research note on Tuesday, May 28th. Craig Hallum cut Zuora from a buy rating to a hold rating and reduced their price objective for the company from $12.00 to $10.00 in a research report on Monday, July 8th. Finally, Needham & Company LLC reissued a buy rating and issued a $15.00 target price on shares of Zuora in a research report on Thursday. Three equities research analysts have rated the stock with a hold rating and four have assigned a buy rating to the stock. Based on data from MarketBeat.com, Zuora currently has a consensus rating of Moderate Buy and an average price target of $11.86.

Insider Buying and Selling

In other Zuora news, insider Andrew M. Cohen sold 3,861 shares of the business’s stock in a transaction dated Wednesday, July 10th. The stock was sold at an average price of $8.71, for a total transaction of $33,629.31. Following the completion of the sale, the insider now owns 148,640 shares of the company’s stock, valued at $1,294,654.40. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. In related news, insider Andrew M. Cohen sold 3,861 shares of the stock in a transaction that occurred on Wednesday, July 10th. The shares were sold at an average price of $8.71, for a total value of $33,629.31. Following the completion of the sale, the insider now directly owns 148,640 shares of the company’s stock, valued at approximately $1,294,654.40. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Tien Tzuo sold 70,833 shares of Zuora stock in a transaction that occurred on Monday, July 1st. The shares were sold at an average price of $9.73, for a total transaction of $689,205.09. Following the transaction, the chief executive officer now directly owns 6,352 shares in the company, valued at approximately $61,804.96. The disclosure for this sale can be found here. In the last three months, insiders have sold 372,666 shares of company stock valued at $3,408,961. 8.62% of the stock is owned by company insiders.

About Zuora

Zuora, Inc provides a monetization suite for modern businesses to help companies launch and scale new services and operate dynamic customer-centric business models. The company offers Zuora Billing that allows customers to deploy various pricing and packaging strategies to monetize their recurring revenue streams, bill customers, calculate prorations when subscriptions change, and automate billing and payment operations; Zuora Revenue, a revenue recognition and automation solution that accounting teams use to manage their complex revenue streams; Zuora Payments to provide payment orchestration services for companies looking to operate globally; and Zephr, a digital subscriber experience platform that helps companies orchestrate dynamic experiences that increase conversion, reduce churn, and nurture ongoing subscriber relationships.