Seek revenue guidance for FY23 downgraded by 1.2% and shares fall by 5%
Nick Sundich, April 4, 2023
Barely 6 weeks after it was issued, Seek’s revenue guidance for FY23 was cut. This led to a 5% sell-off in shares this morning, but it is still in positive territory in FY23.
No time to do stock research, but you still want to invest?
Stocks Down Under Concierge gives you timely BUY and SELL alerts on ASX-listed stocks!
With price targets, buy ranges, stop loss levels and Sell alerts too.
GET A 3-MONTH FREE TRIAL TO CONCIERGE TODAY
Seek revenue guidance cut from A$1.26bn to $1.245bn
Seek’s revenue guidance was only cut by 1.2%, from $1.26bn to $1.245bn. Shares in the company fell by 5% this morning. Despite today’s losses, shares are still up on a YTD basis.
An over-reaction?
You could argue this was an over-reaction given that its EBITDA and NPAT guidance was unchanged and reiterated. However, three things may be of concern to investors.
First, it gave a warning that job ad volumes were moderating. The company wasn’t specific beyond that general warning – it did not state the extent to which they were moderating and how long it was expected. Granted, it is clearly not too vehement if Seek’s revenue guidance is only being downgraded by 1%.
Second, the company’s unchanged EBITDA and NPAT guidance was assumed to be offset by lower than assumed operating expenditure. And third, the fact that the company’s guidance was downgraded so soon after it was iterated.
Ultimately, only time will tell if its guidance holds. But investors may be forgiven for being sceptical amidst 4-decade high inflation.
Stocks Down Under Concierge gives you timely BUY and SELL alerts on ASX-listed stocks!
With price targets, buy ranges, stop loss levels and Sell alerts too.
GET A 3-MONTH FREE TRIAL TO CONCIERGE TODAY
There’s no credit card needed – the trial expires automatically.
Blog Categories
Get Our Top 5 ASX Stocks for FY25
Recent Posts
5 ASX stocks with the highest PE multiples and 5 ASX stocks with the lowest PE multiples!
5 ASX stocks with the highest PE multiples Note: All figures are in AUD and for FY25 unless otherwise stated…
Here’s everything crucial for Australian investors to know about the Federal Reserve (or ‘The Fed’)!
The first central bank Australian investors will watch is our own RBA, but watching the US Federal Reserve should be…
How will stocks be affected by the so-called ‘budget blowout’? Its more complicated than you think
The term budget blowout has gone viral in the last week. It is not a new term, but it is…