ChannelAdvisor: A Good Time To Change Your Opinion
Darspal S Mann
Darspal S Mann
ChannelAdvisor Making The Right Moves, But Revenue Growth Will Take Time
Fri, Feb. 5, 5:38 PM
Fri, Feb. 5, 9:29 AM
- ChannelAdvisor (NYSE:ECOM) has jumped to $13.00 premarket after beating Q4 estimates with the help of 22% Y/Y customer GMV growth. The beat is overshadowing Q1 sales guidance of $24.6M-$25M (below a $25.4M consensus) and 2016 guidance of $111M-$113M (mostly below a $112.9M consensus).
- Q1 adjusted EBITDA guidance is at -$2.5M to -$1.5M. Full-year guidance is at $0-$3M (compares with 2015 adjusted EBITDA of $1.4M).
- On the earnings call (transcript), CEO David Spitz mentioned trailing 12 month average revenue per customer rose 10% Y/Y to more than $34,500, and that top-100 customers accounted for 29% of revenue (up from 26%) in Q3. Variable revenue rose 32%, something Spitz attributed to Amazon's share gains (Amazon is now ECOM's largest channel), pricing policy changes, strong growth at emerging marketplaces, and a mix shift towards larger clients.
- Lifting EPS: GAAP operating expenses fell by $600K Y/Y to $23.5M. ChannelAdvisor ended Q4 with $60.5M in cash and no debt.
- ChannelAdvisor's Q4 results, earnings release
Wed, Jan. 13, 2:59 PM
- It's another ugly day for stocks, with the S&P down 2.1% and the Nasdaq 2.9%. Many high-beta tech names are naturally seeing even steeper declines.
- Major decliners include driver-assistance hardware/software provider Mobileye (MBLY -6.4%), travel reviews/bookings search site TripAdvisor (TRIP -5.8%), mobile payments provider/recent IPO Square (SQ -7%), online furniture leader Wayfair (W -6.2%), craft/vintage goods marketplace Etsy (ETSY -7.2%), SMB Web services provider Wix.com (WIX -7.9%), and CAD/CAM software leader Autodesk (ADSK -7.7%).
- Others include gaming headset vendor local reviews leader Yelp (YELP -6%), Turtle Beach (HEAR -19.5%), wireless charging tech developer Energous (WATT -14.2%), cloud HR software firm Paylocity (PCTY -7.3%), e-commerce software/services firm Shopify (SHOP -8.9%), e-commerce services firm ChannelAdvisor (ECOM -8.5%), mainframe/IT services provider Unisys (UIS -7%), and car-buying site TrueCar (TRUE -6.7%).
- Previously covered: Qorvo, Cimpress, Tableau, Multi-Fineline, LendingTree, Twitter
Nov. 6, 2015, 12:44 PM
Nov. 5, 2015, 7:38 PM
- ChannelAdvisor (NYSE:ECOM) has jumped to $10.77 after hours after beating Q3 estimates and guiding for Q4 revenue of $26.2M-$26.6M vs. a $26.2M consensus.
- Quarter-ending customer count was 2,910, down from 2,937 at the end of Q2 and up from 2,781 a year ago. Average revenue per customer (trailing 12 months) rose to $32,748 from $32,022 in Q2 and $31,375 a year ago. New clients included Dell, Chico's FAS, Fujitsu America, and Shoes.com.
- Lifting EPS: GAAP operating expenses fell by $1M Y/Y to $22.8M; $11.9M was spent on sales/marketing. Along with its results, ChannelAdvisor has announced the appointment of controller Richard Cornetta to the role of chief accounting officer. He'll report to recently-hired CFO Mark Cook.
- Q3 results, PR
Oct. 8, 2015, 10:30 AM
- ChannelAdvisor (ECOM -5.7%) reports clients selling on eBay (EBAY -6.3%) saw their same-store sales rise 1.1% Y/Y in September. That's down from 3.4% in August, well below U.S. e-commerce growth of ~15% (per comScore), and the slowest rate of growth over the last 12 months.
- Only a 13.3% increase in Motors same-store sales (down from 20% in August) kept eBay's growth positive. Auctions were down 31%, and fixed-price sales 0.7%.
- Amazon (AMZN -1.9%) fared better, with same-store sales rising 19.2%. However, that's down from August's 24.7%, and also a 12-month low. 35.9% of Amazon-related GMV relied on Amazon's fulfillment services (FBA), up from 29.9% a year ago, with sellers using FBA seeing 30.1% same-store growth.
- Google Shopping/Product Listing Ads (indirectly competes with Amazon) were strong, registering 46.1% same-store growth with the help of higher conversion rates. Some of their growth came at the expense of search ads (dominated by Google), which saw a 9.5% same-store decline.
Aug. 4, 2015, 5:38 PM
Aug. 4, 2015, 4:44 PM
- With a Q2 beat in tow, ChannelAdvisor (NYSE:ECOM) now expects 2015 revenue of $95.5M-$97M, at the high end of a prior $94M-$97M range and above a $95.3M consensus. Q3 guidance is at $23.5M-$24M, in-line with a $23.8M consensus.
- The e-commerce listing/monetization services firm has also improved its full-year adjusted EBITDA guidance to -$7M to -$9M from -$13M to -$16M. Q3 guidance is at -$1.5M to -$2.2M. Customer count rose by 44 Q/Q and 264 Y/Y in Q2 to 2,937.
- Along with the numbers, ChannelAdvisor has announced CFO John Baule is resigning, effective Aug. 31. He'll be replaced by Red Hat finance VP/controller Mark Cook.
- Shares have jumped to $11.50 AH.
- Q2 results, PR
May 5, 2015, 12:57 AM
- Along with its Q1 results, ChannelAdvisor (NYSE:ECOM) has announced co-founder Scott Wingo is stepping down as CEO, albeit while remaining chairman. COO David Spitz is the e-commerce service provider's new CEO.
- ChannelAdvisor closed AH trading up 9.8% to $11.00 in the wake of its Q1 beat, guidance, and CEO announcement. Q2 revenue guidance is light $21.4M-$21.8M vs. a $23.2M consensus - but full-year sales guidance of $94M-$97M is in-line with a $95.9M consensus. With shares down over 75% from early-2014 levels, the full-year outlook has been well-received.
- Q1 results, earnings release, CC transcript
May 4, 2015, 5:36 PM
Apr. 23, 2015, 3:27 PM
- Only a handful of tech companies are seeing major declines amid a 0.6% gain for the Nasdaq. A somewhat larger number are seeing big gains.
- Today's notable tech gainers include wireless IP licensing firm WiLAN (WILN +5.3%), Chinese social networking/gaming services firm Renren (RENN +4.8%), authentication hardware/software vendor Vasco (VDSI +4.1%), mobile banking tech provider Mitek (MITK +5.6%), and e-commerce listing/monetization services firm ChannelAdvisor (ECOM +5.7%).
- Renren is up 10% over the last two days. Beaten-down ChannelAdvisor has rallied ahead of its May 4 Q1 report. WiLAN's gains come ahead of its April 29 Q1 report.
- Previously covered: Chinese online real estate, Nuance, Solar3D, Medidata, F5, Citrix, Logitech, Rocket Fuel
- Notable decliners: Chip stocks, MobileIron, Avnet, Cognex, Ericsson
Apr. 21, 2015, 3:27 PM
- Today's notable tech gainers include Chinese online retailer Vipshop (VIPS +4.9%), European chipmaker STMicroelectronics (STM +5.1%), IP risk-protection services firm RPX (RPXC +4.1%), Wi-Fi hardware maker Aerohive (HIVE +4.8%), Indian ISP/data services firm Sify (SIFY +5.2%), and software outsourcing firm Luxoft (LXFT +3.9%). The Nasdaq is up 0.5%.
- Notable decliners include 3 e-commerce-focused firms: Online women's/children's apparel seller Zulily (ZU -6.5%) e-commerce listing/monetization service provider ChannelAdvisor (ECOM -5.1%), and online coupon/promo code provider RetailMeNot (SALE -3.9%). Also off is ultracapacitor maker Maxwell (MXWL -6.1%).
- Vipshop is once more near a high of $30.59. STMicro is closing in on a 52-week high of $10.00 ahead of its April 30 Q1 report. Possible helping Aerohive: The company has launched a new channel partner program and hired Riverbed/EMC vet Johnna Bowley to run it.
- Maxwell is once more within a dollar of a 52-week low of $6.29; its Q1 report is due on Thursday. Zulily is slightly more than a dollar above a post-IPO low of $12.34. ChannelAdvisor reports on May 4, and RetailMeNot on May 5.
- Previously covered: Cybersecurity stocks, chip equipment stocks, 3D Systems/Stratasys, ARM, ServiceSource, Ultra Clean, 58.com, Tremor Video, Voltari, Rambus, Sanmina
Apr. 14, 2015, 12:07 PM
- ChannelAdvisor (NYSE:ECOM) has surged above $10.50 on volume of 905K shares (well above a 3-month daily average of 477K). Shares were briefly halted due to volatility.
- The e-commerce services provider saw an insider buy last month, after tumbling in January due to a Q4 warning. Q1 results arrive on May 4.
Mar. 24, 2015, 3:18 PM
- Today's notable tech gainers include chip packaging/testing firm ChipMOS (IMOS +3.7%), and headphone maker Skullcandy (SKUL +3.9%), mobile banking tech provider Mitek (MITK +6.5%), search toolbar/mobile ad platform provider Perion (PERI +8.8%), Chinese social network/game provider Renren (RENN +4.8%), peripherals giant Logitech (LOGI +4%), security IP licensing firm Finjan (FNJN +13.7%).
- Notable decliners include e-commerce services firm ChannelAdvisor (ECOM -5.6%), program guide/content protection IP firm Rovi (ROVI -4.3%), telecom equipment vendor Calix (CALX -3.5%), and Fibre Channel/Ehternet switch vendor Brocade (BRCD -3.4%).
- Likely helping Finjan: An H.C. Wainwright note stating the company has committed $5M to a Jerusalem Venture Partners (JVP) cybersecurity fund; Alibaba announced yesterday it's investing in JVP. Logitech announced a $100 wireless mouse today. Skullcandy is once more within striking distance of a 52-week high of $11.83.
- Previously covered: Twitter, solar stocks, Sonus/AudioCodes/BroadSoft, Neonode, Arista, Taser, Ciena, Zagg, Gogo, Digital Ally
Mar. 13, 2015, 1:22 PM
- ChannelAdvisor (ECOM +6.9%) director Robert Hower discloses he bought 5K shares on Wednesday at $9.48.
- Hower's purchase price came with ChannelAdvisor down nearly 80% from a 52-week high of $45.77. The e-commerce listing/monetization services firm crashed in January thanks to a Q4 warning blamed on a mix shift towards larger retailers.
Mar. 10, 2015, 12:51 PM
- ChannelAdvisor (ECOM -3.6%) clients saw their Amazon (AMZN -2.1%) same-store sales rise 22.7% Y/Y in February. That's down from January 27%, and also below the growth seen during 9 of the prior 10 months (December being the exception). Growth peaked at 45.1% in August.
- 38% of tracked Amazon sales relied on Amazon's fulfillment services (FBA), up from 32.2% a year earlier. 2.3% of sales relying on FBA involved non-Amazon transactions. Amazon stated in its Q4 report 3rd-party sellers using FBA grew 65% in 2014, and made up over 40% of Q4 3rd-party units.
- eBay (EBAY -2.5%) continues to lose share: Its ChannelAdvisor same-store sales grew 5.1% in February, down from January's 6.8% and below total U.S. e-commerce growth of 15% (per comScore) - auctions -26.2%, fixed-pride +8.6%, Motors +25.2%. eBay is coming off a Q4 in which its Marketplaces GMV only rose 2% Y/Y (3% U.S. growth, 1% international).
- Search ad-based same-store sales (largely involving Google ads) rose 10.7%, with rising clicks and orders offsetting declining ad prices. Google Shopping-related (NASDAQ:GOOG) same-store sales grew 20.7%.
- Amazon and eBay are both underperforming on a down day for equities. Amazon's volume has been below-average, and eBay's above-average.
ChannelAdvisor Corp. is a provider of SaaS solutions that enable the retailer and branded manufacturer customers to integrate, manage and optimize their merchandise sales across hundreds of online channels. The company enables the customers to connect with new and existing sources of demand for... More
Industry: Application Software
Country: United States