Nextdoor Holdings, Inc. (KIND) Reports Q4 Loss, Tops Revenue Estimates

Company Performance - Nextdoor Holdings, Inc. reported a quarterly loss of $0.03 per share, better than the Zacks Consensus Estimate of a loss of$ 0.04, and an improvement from a loss of $0.08 per share a year ago, representing an earnings surprise of 25% [1] - The company posted revenues of$ 65.23 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 1.17% and showing an increase from year-ago revenues of $55.56 million [2] - Over the last four quarters, Nextdoor has consistently surpassed consensus EPS estimates and revenue estimates [2] Stock Outlook - Nextdoor shares have increased approximately 7.6% since the beginning of the year, outperforming the S&P 500's gain of 1.3% [3] - The company's earnings outlook will be crucial for future stock performance, with current consensus EPS estimates at -$ 0.05 for the coming quarter and -$0.16 for the current fiscal year [4][7] - The current estimate revisions trend for Nextdoor is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market [6] Industry Context - The Internet - Software industry, to which Nextdoor belongs, is currently ranked in the top 33% 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 impact Nextdoor's stock performance [5]