AppFolio (APPF) Misses Q1 Earnings and Revenue Estimates

Core Viewpoint - AppFolio reported quarterly earnings of $1.21 per share, slightly missing the Zacks Consensus Estimate of $1.22 per share, but showing an increase from $1.05 per share a year ago [1] - The company posted revenues of $217.7 million for the quarter, which also fell short of the Zacks Consensus Estimate by 1.74%, compared to $187.43 million in the same quarter last year [2] Financial Performance - AppFolio's earnings surprise was -0.82%, and it has surpassed consensus EPS estimates two times over the last four quarters [1][2] - The company has topped consensus revenue estimates three times in the last four quarters [2] - The current consensus EPS estimate for the upcoming quarter is $1.32, with expected revenues of $232.74 million, and for the current fiscal year, the EPS estimate is $5.35 on revenues of $940.44 million [7] Stock Performance - AppFolio shares have declined approximately 8.5% since the beginning of the year, slightly outperforming the S&P 500's decline of 8.6% [3] - The stock currently holds a Zacks Rank of 4 (Sell), indicating expectations of underperformance in the near future [6] Industry Outlook - The Internet - Software industry, to which AppFolio belongs, is currently ranked in the top 32% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [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]