Is the Future Getting Brighter for FireEye?
FireEye Inc. (NASDAQ: FEYE) shares made a handy gain on Wednesday after the firm announced that it would be updating its guidance. With its shares down about 15% year to date, a strong push by the cybersecurity firm could save investors from a loss by year’s end.
Cybersecurity firms have mostly underperformed in 2019, with FireEye being one of the worst. So this updated guidance comes as somewhat of a surprise, and the investor reaction seems muted, considering the stock performance thus far in 2019.
According to the SEC filing released by FireEye, management estimates revenue for such third quarter to be at or above the high end of the company’s prior guidance range of $217 million to $221 million and billings for such third quarter to be within the company’s prior guidance range of $245 million to $255 million.
In terms of the consensus estimates, analysts are calling for $0.01 in EPS and $219.45 million in revenue for the third quarter.
FireEye also detailed in the filing:
The Company is currently in the process of finalizing its financial results for such third quarter. As such, actual results and financial data as of September 30, 2019 may differ from the above estimates due to the completion of the Company’s closing procedures with respect to such third quarter and final adjustments and other developments that may arise between now and the time the financial results for such third quarter are finalized.
Look for the third-quarter results on Tuesday, October 29, after the close of the U.S. markets.
Shares of FireEye traded up about 5% to $14.52 on Wednesday, in a 52-week range of $12.66 to $20.61. The consensus price target is $17.71.