Why Is Matterport (MTTR) Stock Climbing Higher Today?

After reporting stronger-than-expected first-quarter results yesterday, Matterport (NASDAQ:MTTR) stock is up 10% in morning trading. Matterport’s revenue came in at $28.5 million, versus analysts’ average outlook of $27.5 million. It reported a loss of 10 cents per share, which was better than analysts’ mean outlook of a per-share loss of 14 cents.

Matterport Silicon Valley exterior sign and trademark logo.
Source: Ken Wolter / Shutterstock.com

Matterport, which markets its “spatial data platform” to real estate firms and other companies, noted that its subscriber base had soared 70% year over year to 562,000 in Q1. The firm’s subscription revenue, however, increased 24% YOY, while its overall top line climbed only 6% YOY.

MTTR Stock Climbs on Q1 Beat

The company reiterated its previous Q2 revenue guidance of $28.5 million to $30.5 million. Analysts’ average estimate was $31 million. It expects a per-share loss, excluding certain items, of 13 cents to 15 cents. Analysts’ average outlook was a per-share loss of 12 cents.

“The number of industry-leading companies that are embedding Matterport into their daily workflows to manage their real estate assets online is bigger than ever and expanding internationally,” said Matterport CEO RJ Pittman on the company’s Q1 earnings conference call yesterday. Adding that “22% of … Fortune 1000” firms currently use Matterport’s platform, Pittman believes that the tech company can greatly increase its customer base and revenue going forward.

In a note to investors today, Deutsche Bank cut its price target on MTTR stock to $7 from $9. Calling the Q1 report “broadly inline,” the firm maintained a “buy” rating on the name.

On the date of publication, Larry Ramer did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel’s largest business newspaper, Globes. Larry began writing columns for InvestorPlace in 2015. Among his highly successful, contrarian picks have been PLUG, XOM and solar stocks. You can reach him on Stocktwits at @larryramer.

Article printed from InvestorPlace Media, https://investorplace.com/2022/05/why-is-matterport-mttr-stock-climbing-higher-today/.

©2023 InvestorPlace Media, LLC