ZoomInfo Technologies (NASDAQ:ZI) stock is taking a beating on Wednesday following the release of its third-quarter 2022 earnings report.
That earnings report starts with adjusted earnings per share of 24 cents. That’s better than the 20 cents per share that Wall Street was expecting. However, it wasn’t enough to keep ZI stock up today.
Another positive for ZoomInfo Technologies comes from its revenue of $287.8 million. Yet again, that beats out analysts’ revenue estimate of $278.48 million for the period. It’s also a 46% increase year over year.
What’s Keeping ZI Stock Down?
All of that is positive news and doesn’t explain why shares of ZI are slipping today. Instead, we have to dive deeper into the software and data company’s earnings report to find out where the trouble lies.
Comments from ZoomInfo Technologies founder and CEO Henry Schuck appear to be behind today’s drop. Here’s a portion of what he told investors during the company’s Q3 conference call:
“We began to see increased macro pressure on deals, causing the level of deal review to increase and sales cycles to elongate further. Since this started very late in the quarter, it only modestly impacted Q3 results. This elongation trend has continued into Q4, and we do expect it to impact growth in the short term.”
This rattled investors today with heavy trading sending shares lower. As of this writing, over 12 million shares of ZI stock have been traded. For perspective, the company’s daily average trading volume is closer to 3.5 million shares.
ZI stock is down 26.4% as of Wednesday afternoon.
There’s more stock market news traders need to know about below!
InvestorPlace is home to all of the hottest stock market news for Wednesday! That includes why shares of Rogers Corporation (NYSE:ROG), Meta Materials (NASDAQ:MMAT) and Benefitfocus (NASDAQ:BNFT) stock are moving today. You can read up on all of this news at the following links!
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On the date of publication, William White 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.