Many value-oriented software companies have fallen this quarter despite strong earnings releases. Falling into this category is SurveyMonkey (SVMK), the Q&A/feedback software platform that has rediscovered its growth potential this year. Despite recording its second straight quarter of accelerating revenue growth, alongside strong gross margin gains, investors turned bearish on SurveyMonkey post-earnings and sold off the stock to the tune of ~7%:
It's difficult to understand this move. The only explanation for bearishness on SurveyMonkey is its in-line guidance for the fourth quarter. The company has guided to Q4 revenues