May 10, 2023 – The latest earnings report for Gogo (NASDAQ:GOGO) has investors talking. The technology company released its quarterly earnings data on May 3rd, showing an earnings per share of $0.15 for the quarter. This number exceeded analysts’ consensus estimates by $0.02, a noteworthy achievement in today’s market.
While Gogo had revenue of $98.60 million during the quarter, this fell slightly short of analyst estimates of $101.26 million. Despite this, the company’s quarterly revenue was up by 6.3% compared to the same period last year. In the prior year’s quarter, Gogo had earned $0.18 per share.
Gogo is a business aviation connectivity service provider founded by Jimmy Ray in 1991 and based in Broomfield, CO. Despite showing positive growth in its revenues over the past year, Gogo’s return on equity has been negative at -77.87%. The company has maintained a net margin of 22.03%.
Gogo’s stock opened at $12.26 on Tuesday with a market cap of $1.58 billion and a PE ratio of 18:03.The stock’s 50-day simple moving average is at $14:37 while its two-hundred-day simple moving average stands at $15:05.The business also has a low twelve month estimate of $11:57 but hit a high of $21:78 over the last twelve months.
This technology firm entered new territory over two decades ago when it started providing broadband connectivity services to business professionals conducting corporate meetings on commercial airlines It was able to do so through satellite networks that beamed signals to airplane receivers allowing business travelers enjoy seamless wireless internet connection during their airline travel.
Despite many economic hiccups experienced globally since then, Gogfo remained steadfast in delivering unmatched aerial-connectivity one can rely upon anytime, anywhere thus earning a reputation as a technology-forward community.
Gogo’s willingness to continually improve its services has made them a trusted partner for many industries. Their exceptional earnings results only serve to give investors more confidence in their abilities to succeed. It is clear that Gogo is a company on the rise and one that should be on the radar of all investors seeking well-founded growth and proven success in both technology and finance.
Gogo Inc. Faces Earnings Per Share Estimate Reduction from William Blair Research Analysts
On May 10, 2023, Gogo Inc. (NASDAQ:GOGO) was dealt a blow by William Blair research analysts. They reduced the company’s Q2 2023 earnings per share (EPS) estimates for shares of Gogo in a report released on May 8th. William Blair analyst L. Dipalma now predicts that the technology company will post earnings per share of $0.16 for the quarter, down from their prior estimate of $0.17. The consensus estimate for Gogo’s current full-year earnings is $0.61 per share.
Separately, StockNews.com raised shares of Gogo from a “sell” rating to a “hold” rating in a research note on Tuesday; however, this upgrade did not offset the downside generated by William Blair’s report.
Though these changes in estimates may not seem large at first glance, they are significant indicators of the market’s sentiment towards Gogo as expressed through institutional investors actions and analysts reports.
For example, several large investors have recently added or reduced their stakes in the stock according to Great West Life Assurance Co., who grew its stake in shares of Gogo by 41.0% during the first quarter. Similarly, PNC Financial Services Group Inc. raised its position in Gogo by 432.4% in Q4 while Nisa Investment Advisors LLC lifted its stake by an impressive 233.5% during Q3 last year.
However, it’s worth noting that Royal Bank of Canada lifted its position in Gogo by only 76.6% during Q3 and Dark Forest Capital Management LP purchased just a new stake valued at approximately $57K worth of stocks in Q4 which are relatively low numbers compared to other institutional players.
In any case, it seems that hedge funds and other institutional investors continue to hold over 64% of shares owned which suggests that there is still hope left for Gogo’s future.
Overall, it is evident that market analysts and institutional investors are keeping a close eye on Gogo Inc. as the company endeavours to bounce back from this setback. In the coming weeks and months, businesses and consumers alike will be watching closely to see how this technology company navigates these challenging times.
