Fluent, Inc. (FLNT), a data and analytics company, reported a disappointing second quarter of 2024, posting a loss of $0.47 per share, significantly wider than the Zacks Consensus Estimate of a loss of $0.21. This compares to earnings of $0.06 per share a year ago. The company also missed revenue expectations, reporting $58.72 million for the quarter, falling short of the Zacks Consensus Estimate by 4.70%. This is a significant decline from the $82.15 million in revenue reported in the same quarter last year.
Despite these disappointing results, Fluent’s stock is currently rated a Zacks Rank #2 (Buy) based on positive earnings estimate revisions. While the company has underperformed the market this year, the favorable trend in estimate revisions suggests potential for future outperformance.
It’s important to note that the sustainability of this price movement will likely depend on management’s commentary on the upcoming earnings call, and on the company’s ability to improve its performance going forward.
Investors should also consider the broader industry outlook when assessing Fluent’s prospects. The Zacks Industry Rank for Advertising and Marketing is currently in the bottom 41% of the 250+ Zacks industries, indicating potential headwinds for the sector.
For comparison, Direct Digital Holdings, Inc. (DRCT), another company in the same industry, is expected to report quarterly earnings of $0.12 per share, representing a year-over-year increase of 50%. Its revenue is projected to be $41.38 million, a 16.9% increase from the same period last year.
Overall, Fluent’s recent earnings report highlights the challenges facing the company and the broader advertising and marketing sector. Investors should closely monitor future developments and management’s guidance to assess the stock’s long-term potential.
