Confluent (NASDAQ:CFLT) Releases Quarterly Earnings Results, Beats Estimates By $0.02 EPS

Confluent (NASDAQ:CFLT) posted its quarterly earnings data on Wednesday. The company reported $0.12 earnings per share for the quarter, topping the consensus estimate of $0.10 by $0.02, FiscalAI reports. Confluent had a negative net margin of 25.31% and a negative return on equity of 23.19%. The company had revenue of $314.82 million for the quarter, compared to analysts’ expectations of $308.03 million. During the same period in the prior year, the business earned $0.09 earnings per share. Confluent’s revenue for the quarter was up 20.5% compared to the same quarter last year.

Confluent Price Performance

CFLT opened at $30.52 on Friday. The company has a debt-to-equity ratio of 0.98, a current ratio of 4.01 and a quick ratio of 4.01. The stock’s 50 day simple moving average is $30.15 and its 200 day simple moving average is $24.07. The firm has a market cap of $10.68 billion, a price-to-earnings ratio of -35.49 and a beta of 0.95. Confluent has a 1 year low of $15.64 and a 1 year high of $36.89.

Analyst Upgrades and Downgrades

CFLT has been the topic of several research reports. Citigroup raised their price objective on shares of Confluent from $26.00 to $31.00 and gave the company a “neutral” rating in a research report on Tuesday, December 9th. Sanford C. Bernstein downgraded Confluent from an “outperform” rating to a “market perform” rating and set a $31.00 price target on the stock. in a research report on Friday, January 23rd. UBS Group cut Confluent from a “buy” rating to a “neutral” rating and upped their price objective for the stock from $29.00 to $31.00 in a report on Tuesday, December 9th. Deutsche Bank Aktiengesellschaft set a $31.00 price objective on Confluent and gave the company a “hold” rating in a research report on Monday, December 8th. Finally, Royal Bank Of Canada downgraded Confluent from an “outperform” rating to a “sector perform” rating and boosted their target price for the stock from $30.00 to $31.00 in a research report on Tuesday, December 9th. One analyst has rated the stock with a Strong Buy rating, four have assigned a Buy rating, twenty-eight have given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock has a consensus rating of “Hold” and a consensus target price of $28.71.

Insider Activity

In other Confluent news, Director Lara Caimi sold 1,074 shares of the stock in a transaction that occurred on Wednesday, December 10th. The stock was sold at an average price of $30.00, for a total value of $32,220.00. Following the completion of the sale, the director owned 11,524 shares in the company, valued at approximately $345,720. This trade represents a 8.53% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, Director Eric Vishria sold 15,476 shares of the business’s stock in a transaction that occurred on Wednesday, December 10th. The shares were sold at an average price of $30.00, for a total value of $464,280.00. Following the transaction, the director directly owned 1,061,542 shares in the company, valued at $31,846,260. This trade represents a 1.44% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders have sold 1,125,164 shares of company stock valued at $32,844,721. Corporate insiders own 9.20% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Quarry LP purchased a new position in shares of Confluent during the third quarter valued at about $26,000. Danske Bank A S purchased a new position in shares of Confluent during the 3rd quarter worth approximately $34,000. Los Angeles Capital Management LLC purchased a new position in shares of Confluent during the 4th quarter worth approximately $36,000. Advisors Asset Management Inc. raised its position in shares of Confluent by 35.0% in the 4th quarter. Advisors Asset Management Inc. now owns 4,902 shares of the company’s stock worth $148,000 after acquiring an additional 1,271 shares in the last quarter. Finally, PNC Financial Services Group Inc. lifted its stake in shares of Confluent by 9.6% in the 4th quarter. PNC Financial Services Group Inc. now owns 4,938 shares of the company’s stock valued at $149,000 after purchasing an additional 432 shares during the period. 78.09% of the stock is owned by hedge funds and other institutional investors.

About Confluent

Confluent, Inc (NASDAQ: CFLT) is a leading provider of an event streaming platform built on Apache Kafka. The company’s flagship offerings include Confluent Platform—a self-managed software solution—and Confluent Cloud, a fully managed service designed to simplify real-time data processing across hybrid and multi-cloud environments. These products enable enterprises to collect, process and distribute high volumes of data in real time, supporting use cases such as fraud detection, supply chain optimization and personalized customer experiences.

Founded in 2014 by Apache Kafka co-creators Jay Kreps, Neha Narkhede and Jun Rao, Confluent has driven the commercialization of Kafka technologies and extended the platform with tools for data integration, stream processing and enterprise-grade security.