2023-04-27 14:02:46 ET
Shares of online closeout retailer and blockchain technology developer Overstock.com (NASDAQ: OSTK) soared on Thursday, following a better-than-expected first-quarter earnings report. The stock jumped as much as 18.6% shortly after the opening bell, settling down to a milder 11% gain by noon ET.
Overstock exceeded Wall Street's revenue and earnings estimates, but those expectations were set quite low. Your average analyst was looking for a net loss of $0.15 per share, down from a net profit of $0.21 in the year-ago period. Top-line sales were expected to land near $358 million -- 33% below the $536 million Overstock reported in the first quarter of 2022.
So when the bottom line swung to an adjusted loss of $0.10 per share and revenue swooned 29% lower to $381 million, golf claps ensued. This performance was impressive in light of the rock-bottom expectations, but Overstock's business is clearly struggling right now.
For further details see:
Why Overstock.com Shares Are Soaring Today