Smith Micro Software, Inc. (SMSI) Reports Q3 Loss, Lags Revenue Estimates

Company Performance - Smith Micro Software, Inc. reported a quarterly loss of $0.30 per share, slightly better than the Zacks Consensus Estimate of a loss of $0.31, compared to earnings of $0.08 per share a year ago, indicating an earnings surprise of 3.23% [1] - The company posted revenues of $4.65 million for the quarter ended September 2024, missing the Zacks Consensus Estimate by 3.17%, and down from $11 million in the same quarter last year [2] - Over the last four quarters, the company has only surpassed consensus EPS estimates once and has not beaten consensus revenue estimates during this period [2] Stock Performance - Smith Micro Software shares have declined approximately 86.4% since the beginning of the year, contrasting with the S&P 500's gain of 25.5% [3] - The current consensus EPS estimate for the upcoming quarter is -$0.14 on revenues of $5.6 million, and for the current fiscal year, it is -$1.28 on revenues of $21.3 million [7] Industry Outlook - The Computer - Software industry, to which Smith Micro Software belongs, is currently ranked in the top 19% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]