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Tag: COUP

  • Coupa Software Inc. (COUP) stock Sinks Deep After Hours Following Latest Earnings

    On March 14, Coupa Software Inc. (COUP) declared its financial results for the quarter and year ended on January 31, 2022. Additionally, the company also announced achieving Moderate Authorization from FedRAMP. Following this, the stock plunged deep in the after-hours due to a weak outlook.

    During the regular trading session, the stock remained in the red with a loss of 9.60%. The stock reported its 52-week low of $89.25 during the session after which it closed at $89.82 per share. The volume remained above the average at 7.24 million shares. In the following after-hours session, COUP plunged deep to lose a huge 27.83% on poor outlook. Hence, the stock was trading at $64.82 per share in the after hours. Therefore, COUP marked its new 52-week low in the after-hours at a volume of 3.09 million shares.

    The business spends management (BSM) solutions provider, Coupa Software Inc. has a market capitalization of $7.42 billion. Currently, the company has 74.68 million shares outstanding in the market.

    COUP’s Q4 Fiscal 2022

    For Q4 fiscal 2022, the company reported total revenues of $193.3 million with a growth of 18% YOY.

    Moreover, COUP’s non-GAAP net income was $14.4 million, against $13.0 million in the year-ago period. Thus, the non-GAAP net income per diluted share was $0.19 and $0.17 in Q4 of fiscal 2022 and 2021, respectively.

    Source: Urenco

    Fiscal 2022 Results

    For fiscal 2022, COUP reported total revenues of $725.3 million with a YOY increase of 34%.

    Furthermore, the company had a non-GAAP net income of $63.2 million in fiscal 2022, against $55.7 million in the previous year. Resultantly, the non-GAAP net income per diluted share was $0.83 and $0.77 in fiscal 2022 and 2021, respectively.

    COUP’s Future Outlook

    For Q1 fiscal 2023, the company expects total revenues of $189.0-$191.0 million with a non-GAAP net income of $0.01-$0.06 per diluted share.

    In addition, for fiscal 2023, COUP expects total revenues of $836.0-$840.0 million with a non-GAAP net income of $0.15-$0.19 per diluted share.

    FedRAMP Authorization

    On Monday, the company also announced authorization from the Federal Risk Authorization Management Program (FedRAMP). As a result, Coupa is now available on FedRAMP Marketplace. This means every federal agency can now start using Coupa’s all-in-one cloud-based platform with added security and compliance.

    Conclusion

    On Monday, the company provided beat Q4 results along with the good news of FedRAMP authorization. But despite the beat earnings and revenue, COUP failed to impress investors with its outlook. Consequently, the weak outlook caused the stock to tumble deep in the after-hours session.

  • How will Coupa Software Inc (COUP) perform this year?

    How will Coupa Software Inc (COUP) perform this year?

    Over the past 12 months, Coupa Software Inc (NASDAQ: COUP) has grown by more than 100%. What are the factors that are required to support the company’s growth in the next quarter?

    Coupa Software offers financial performance management software that helps companies manage their finances. Demand for software of this kind remains strong as more companies seek ways to cut costs. Coupa Software offers its clients programs that make the process of making payments and restocking a lot simpler.

    Sales of software-by-subscription (SaaS) are what have set Coupa Software Inc (COUP) apart from its competitors. Subscription fees create a constant source of income. Moreover, Coupa Software can grow rapidly as its customer base expands with the SaaS business, incurring a small cost to support each additional customer, thanks to its cost-effective and scalable model.

    During the past three years, Coupa Software’s customer base grew by about 37% per year. According to the company’s third-quarter report, over 1,000 customers had annual accounts valued at over $100,000, up 33 % year-on-year. Likewise, Coupa Software reports the cost of acquiring a new customer is six times the total revenue generated over time. This means that each new customer represents a 500% return on investment.

    Furthermore, Coupa Software Inc (COUP) creates a network effect that allows it to be competitive with technology giants. Increased customer participation attracts new vendors, which in turn increases Coupa Software’s customer base. Over the past three years, Coupa Software has seen a nearly 190 % increase in revenue. Despite not yet being profitable, the company can generate free cash flow.

    As a result, the business can grow without incurring further debt or issuing more shares. Therefore, the main factors driving Coupa Software Inc (COUP) long-term growth will be its successful business model, demand for its services, and network effect.