AvidXchange shares are trading lower despite better-than-expected Q1 earnings. The company also raised its FY24 revenue outlook although the midpoint is still below estimates.
Portfolio Pulse from Benzinga Newsdesk
AvidXchange's shares are trading lower even after reporting better-than-expected Q1 earnings. The company has also raised its FY24 revenue outlook, but the midpoint of this new forecast remains below analyst estimates.
May 08, 2024 | 3:26 pm
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AvidXchange's shares are trading lower due to its FY24 revenue outlook's midpoint being below estimates, despite better-than-expected Q1 earnings.
The negative market reaction to AvidXchange's shares can be attributed to the company's future revenue outlook not meeting analyst expectations, which often plays a significant role in investor sentiment. Despite the positive news of better-than-expected Q1 earnings, the focus on future revenue potential and its shortfall against estimates has led to a decrease in share price.
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