GLBE Earnings - Possible Overreaction

[MajorFool20]

@laneylawyer

The most important thing for me on the cc was the continued re-iteration by the CEO and CFO that they see their growth accelerating from here both next quarter and next year.

I’d love to hear from others that have listened to prior calls to see if they have gained a trust in what management has to say.

I haven’t ever owned GLBE so take my thoughts with a big pinch of salt but I do know this company has struggled to make good on their promises/guidance in the past. I am shamelessly going to steal from Bear’s post from back in February -

@PaulWBryant

It’s a little hard to take their guidance seriously as they had to LOWER their full-year GMV and revenue guides twice each last year.

Revenue:
initial FY guide: 411 - 421m
Q1 update: 383 - 403m
Q2 update: 406 - 426m
Q3 update: 404.7 - 410.7m

They ended the year with 409m. Not exactly under-promising and over-delivering.

This history of lowering guidance, coupled with this quarter’s mishap of missing revenue + lowering guidance yet again makes me very wary of management. I have a hard time believing they can accurately forecast next year when they are consistently lowering the current year guidance. Add to the fact that Shopify reported a big quarter and it looks even more suspect.

Again, I haven’t ever owned GLBE so I am not the best person to speak to this but I have been watching it and this type of inconsistent performance has always kept me away.

That said, I hope management proves me wrong and does well for you and other shareholders on the board.

Rex