Business communications software company 8x8 (NYSE:EGHT) fell short of the market’s revenue expectations in Q1 CY2025, with sales falling 1.3% year on year to $177 million. Its non-GAAP profit of $0.08 per share was in line with analysts’ consensus estimates.
The Russell 2000 (^RUT) is packed with potential breakout stocks, thanks to its focus on smaller companies with high growth potential.
However, smaller size also means these businesses often lack the resilience and financial flexibility of large-cap firms, making careful selection crucial.
A number of stocks jumped in the afternoon session after the major indices rebounded (Nasdaq +2.0%, S&P 500 +2.0%) as President Trump postponed the planned 50% tariff on European Union imports, shifting the start date to July 9, 2025.
While profitability is essential, it doesn’t guarantee long-term success.
Some companies that rest on their margins will lose ground as competition intensifies - as Jeff Bezos said, "Your margin is my opportunity".
As the Q1 earnings season wraps, let’s dig into this quarter’s best and worst performers in the video conferencing industry, including RingCentral (NYSE:RNG) and its peers.
8x8 generated $63.6 million in operating cash flow in FY2025, bringing its two-year total to over $142 million marking the highest consecutive two-year period of non-GAAP operating cash flow in company history.
U.S. stock futures were slightly lower on Tuesday after ending largely flat on Monday. Futures of major benchmark indices were trading lower in premarket.
Business communications software company 8x8 (NYSE:EGHT) met Wall Street’s revenue expectations in Q1 CY2025, but sales fell by 1.3% year on year to $177 million. The company expects next quarter’s revenue to be around $178.5 million, close to analysts’ estimates. Its non-GAAP profit of $0.08 per share was in line with analysts’ consensus estimates.
While strong cash flow is a key indicator of stability, it doesn’t always translate to superior returns.
Some cash-heavy businesses struggle with inefficient spending, slowing demand, or weak competitive positioning.
Software is rapidly reducing operating expenses for businesses. In the past, the undeniable tailwinds fueling SaaS companies led to lofty valuation multiples that made it easier to raise capital.
But this was a double-edged sword as the high prices exposed them to big drawdowns, and unfortunately, the industry has tumbled by 7.3% over the last six months. This drop was worse than the S&P 500’s 4.7% fall.
As the Q4 earnings season wraps, let’s dig into this quarter’s best and worst performers in the video conferencing industry, including Zoom (NASDAQ:ZM) and its peers.
The regular session of the US market on Friday is now over, but let's get a preview of the after-hours session and explore the top gainers and losers driving the post-market movements.
The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how RingCentral (NYSE:RNG) and the rest of the video conferencing stocks fared in Q4.
A number of stocks jumped in the afternoon session after stocks extended their rebound, led by strong gains in the technology sector, as renewed optimism surrounding U.S.–China trade negotiations lifted investor sentiment.
A number of stocks fell in the afternoon session after Federal Reserve Chair Jerome Powell signaled a cautious stance on future monetary policy decisions during a speech in Chicago, emphasizing that trade tariffs could add upward pressure to inflation in the short term and complicate the Fed's efforts to stabilize the economy.
