Zuora (NYSE:ZUO) Releases FY 2025 Earnings Guidance

Zuora (NYSE:ZUO) issued an update on its FY 2025 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of 0.560-0.580 for the period, compared to the consensus estimate of 0.430. The company issued revenue guidance of $455.5 million-$461.5 million, compared to the consensus revenue estimate of $454.6 million. Zuora also updated its FY25 guidance to $0.56-0.58 EPS.

Zuora Price Performance

ZUO stock traded down $0.28 during mid-day trading on Wednesday, hitting $8.50. The company had a trading volume of 3,069,582 shares, compared to its average volume of 1,370,179. The company has a 50-day moving average price of $9.14 and a 200 day moving average price of $9.20. Zuora has a 12-month low of $7.05 and a 12-month high of $10.85. The company has a market capitalization of $1.24 billion, a price-to-earnings ratio of -19.77 and a beta of 1.71. The company has a quick ratio of 2.56, a current ratio of 2.56 and a debt-to-equity ratio of 2.60.

Zuora (NYSE:ZUO) last released its quarterly earnings data on Wednesday, May 22nd. The company reported ($0.02) EPS for the quarter, beating the consensus estimate of ($0.11) by $0.09. Zuora had a negative net margin of 14.28% and a negative return on equity of 30.17%. The business had revenue of $109.77 million during the quarter, compared to analyst estimates of $108.80 million. On average, research analysts anticipate that Zuora will post -0.16 earnings per share for the current year.

Analyst Ratings Changes

ZUO has been the subject of a number of research analyst reports. Jefferies Financial Group raised their price target on Zuora from $9.00 to $10.00 and gave the stock a hold rating in a research note on Thursday, May 23rd. Craig Hallum lowered shares of Zuora from a buy rating to a hold rating and lowered their target price for the company from $12.00 to $10.00 in a research note on Monday, July 8th. Canaccord Genuity Group reaffirmed a buy rating and issued a $13.00 price target on shares of Zuora in a research note on Thursday, May 23rd. Robert W. Baird lifted their target price on Zuora from $8.00 to $10.00 and gave the company a neutral rating in a research report on Tuesday, May 28th. Finally, Lake Street Capital raised their price target on Zuora from $12.00 to $13.00 and gave the company a buy rating in a research note on Thursday, May 23rd. Three equities research analysts have rated the stock with a hold rating and four have given a buy rating to the company. According to data from MarketBeat, Zuora has an average rating of Moderate Buy and a consensus target price of $11.86.

Insider Buying and Selling

In other news, insider Andrew M. Cohen sold 3,861 shares of the firm’s stock in a transaction dated Wednesday, July 10th. The stock was sold at an average price of $8.71, for a total transaction of $33,629.31. Following the sale, the insider now directly owns 148,640 shares in the company, valued at approximately $1,294,654.40. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. In other Zuora news, CEO Tien Tzuo sold 81,731 shares of the stock in a transaction on Monday, July 15th. The shares were sold at an average price of $9.05, for a total transaction of $739,665.55. Following the transaction, the chief executive officer now directly owns 6,352 shares of the company’s stock, valued at $57,485.60. The transaction was disclosed in a legal filing with the SEC, which is accessible through the SEC website. Also, insider Andrew M. Cohen sold 3,861 shares of the business’s stock in a transaction that occurred on Wednesday, July 10th. The stock was sold at an average price of $8.71, for a total value of $33,629.31. Following the sale, the insider now owns 148,640 shares of the company’s stock, valued at $1,294,654.40. The disclosure for this sale can be found here. Over the last three months, insiders have sold 372,666 shares of company stock valued at $3,408,961. Corporate insiders own 8.62% of the company’s stock.

About Zuora

Zuora, Inc provides a monetization suite for modern businesses to help companies launch and scale new services and operate dynamic customer-centric business models. The company offers Zuora Billing that allows customers to deploy various pricing and packaging strategies to monetize their recurring revenue streams, bill customers, calculate prorations when subscriptions change, and automate billing and payment operations; Zuora Revenue, a revenue recognition and automation solution that accounting teams use to manage their complex revenue streams; Zuora Payments to provide payment orchestration services for companies looking to operate globally; and Zephr, a digital subscriber experience platform that helps companies orchestrate dynamic experiences that increase conversion, reduce churn, and nurture ongoing subscriber relationships.