Stock hits five-year low as company lowers earnings and revenue guidance

  • eGain shares hit a five-year low after lowering earnings and revenue guidance
  • Stock down 22% at $5.95 in early trading
  • Company expects lower per-share earnings and adjusted earnings for fiscal 2024
  • Revenue outlook also lowered for the fiscal year

Shares of eGain plunged to a five-year low after the company announced a downward revision of its annual earnings and revenue guidance. The stock dropped 22% to $5.95 in early trading, marking its lowest level since December 2018. eGain, a Sunnyvale-based company specializing in AI-powered customer engagement services, disclosed that it now expects per-share earnings of 14 cents to 16 cents, or 29 cents to 31 cents on an adjusted basis for fiscal 2024. This is a decrease from the previous guidance of 20 cents to 22 cents per share in annual earnings and 33 cents to 35 cents per share in adjusted earnings. Additionally, the company revised its revenue outlook to $92 million to $93 million for the fiscal year, down from the previous estimate of $96 million to $98 million.

Public Companies: eGain (EGAN)
Private Companies:
Key People:

Track all markets on TradingView

Factuality Level: 8
Justification: The article provides specific information about eGain lowering its annual earnings and revenue guidance, as well as the impact on the stock price. The information is straightforward and does not contain any obvious bias or misleading elements. However, the article is relatively short and lacks in-depth analysis or additional context.

Noise Level: 7
Justification: The article provides relevant information about eGain’s lowered earnings and revenue guidance, but it lacks in-depth analysis or insights into the reasons behind the decline. It does not explore the consequences of the company’s performance on stakeholders or provide any actionable solutions or new knowledge. The article stays on topic and supports its claims with specific numbers and figures, but it lacks scientific rigor or intellectual honesty.

Financial Relevance: Yes
Financial Markets Impacted: Shares of eGain

Presence of Extreme Event: No
Nature of Extreme Event: No
Impact Rating of the Extreme Event: No
Justification: The article pertains to financial topics as it discusses the impact of eGain lowering its annual earnings and revenue guidance on its stock price.

Reported publicly: www.marketwatch.com